Abstract: Hidden champion manufacturing enterprises are important engines for the steady operation and high-quality development of manufacturing industry and economy of China. Digitalization and complex environment at home and abroad pose new challenges to their technology competitive advantages. In this paper, the technology ladder theory is used to deconstruct the technology advantages of hidden champion manufacturing enterprises in China, and the length advantage, incremental advantage and discontinuity advantage are put forward, and the granularity and improvement order of the technology competitive advantages of hidden champion manufacturing enterprises in China are described under the digitalization context. Based on the springboard theory, it is proposed that enterprises under digitalization context can enhance technology ladder advantage by virtue of digital capability springboard and alliance networks through complex adaptation and interaction among them. Technology alliance includes homogeneous or heterogeneous alliance with constructing edgeties and centerties. Digital capability includes four types: integrated digital extractive capability; decoupled digital extractive capability; leading digital coordination capability; and self-consistent digital coordination capability. Firstly, based on the theoretical framework of technology alliance network - digital capability springboard - technology ladder advantage, this paper takes Shuanghuan Driveline as the research object and carries out longitudinal case analysis to explore how hidden champion manufacturing enterprises develop technology ladder advantage with the help of technology alliance and digital capability springboard, as well as the evolution and improvement path of each element. The research finds that according to the development characteristics of hidden champion, the Shuanghuan Driveline properly divides the dimensions of technology advantages, launches sequential promotion strategies, and adapts to technology alliances and digital capabilities, and finally forms the core technology advantages of “advanced + three-dimensional + complexity”. Secondly, based on the data of 158 hidden champion manufacturing enterprises in China, combined with Elastic Net and MMHC hybrid algorithm, this paper firstly screened out the important influencing variables of each ladder advantage, and then calculated the influence relationship among each important variable to verify the internal mechanism and adaptation relationship of the factors linkage in each dimension. The results show that the enterprises evolve from the homogeneous technology alliance of constructing edgeties to the centerties, and use the integrated & decoupled digital extractive capability and leading digital coordination capability to realize the leading technology development and enhance the technology length advantage; Enterprises build heterogeneous technology alliances, gradually evolve from edgeties to centerties, match the two digital extractive capabilities and self-consistent digital coordination capability, so as to realize multi-level and dimensional technology innovation, and then enhance the incremental advantage. When enterprises cooperate with various technology alliances and use digital capabilities interactively, they can obtain the technological discontinuity advantage. This study has important implications for the improvement of technology advantages and survival & development of hidden champions in the era of VUCA. First, the hidden champion enterprise needs to dynamically judge the ladder of technology advantage and determine the target of the segmentation stage, so as to accurately control the path of technology advantage improvement. Second, it is necessary to make full use of the positive role of technology alliance to promote digital capability building and enhance technology advantages. Third, it is necessary to strengthen the digital awareness of hidden champions, give full play to the role of digital capability springboard, and cultivate the digital extractive and coordination capability to drive the improvement of technology advantages of enterprises. Finally, attention should be paid to the adaptive relationship between different types of alliances and digital capabilities in order to effectively enhance technology ladder advantages.