Abstract: Improving the technological innovation capability of enterprises and reinforcing their dominant position in innovation are the keys for enterprises to maintain their competitive advantages. In the era of digital economy, digital resources have become a new innovation element. The paper takes Chenguang Biotechnology, a traditional manufacturing enterprise, as an example, to explore how enterprises can use digital resources to improve their technological innovation capabilities and strengthen their dominant position in innovation. The study finds that enterprises can use digital resources to strengthen their dominant position in innovation in vertical industrial chains and horizontal cooperation alliances by aggregating innovation elements, to enhance their specialized and diversified technological innovation capabilities by optimizing innovation elements, and to achieve sustainable development through the co-evolution and mutual promotion of their technological innovation capabilities and their dominant position in innovation. In theory, the study reveals the role of digital resources in improving the relationship between the technological innovation capability of enterprises and their dominant position in innovation. In practice, it has far-reaching significance for guiding enterprises to embrace digitalization to realize their innovation.