Abstract:     It is worthy of attention to explore how local latecomer enterprises continuously shape their competitive advantages to realize the stepwise process of catching up and leading in international market competition. There are abundant studies on latecomer catch-up from the perspective of organizational learning; however, there are few studies on the process mechanism of how latecomers deepen the formation of the organizational learning loop and upgrade their competitive advantages to achieve catch-up, surpass catch-up, and lead the step. Based on the organizational learning theory, this study selected Xiaomi Company to conduct an exploratory single-case study to investigate the internal mechanism of shaping and upgrading the competitive advantage of latecomers. It was discovered that the shaping of the competitive advantage of latecomers exhibits the process logic of grasping the key opportunity window, deepening the organizational learning loop, and upgrading and evolving the capability. Among them, identifying and grasping the key opportunity window by setting goals is the starting point for shaping and upgrading the competitive advantage of latecomers. Based on the guidance of goals, the organization undertakes single-loop optimization and improvement learning, double-loop innovation iterative learning, and three-loop transformation and reconstruction learning in order to provide the source power for the shaping and upgrading of stage competitive advantages and promote the evolution of corresponding capabilities to shape the competitive advantages of the user market, ecological aggregation, and innovation-leading. This promotes latecomer enterprises to gradually achieve the steps of catch-up, surpassing catch-up, and taking the lead. The research conclusion has clarified the process mechanism and the underlying logic of the continuous shaping of competitive advantages by latecomers, expanded the study of latecomer catch-up based on organizational learning, and it will provide significant enlightenment for local latecomers′ continuous shaping of competitive advantages to lead the transition.

Key words:  catch-up, organizational learning, capability evolution, competitive advantage