Abstract:New product development is one of the core target of modern enterprise competitions. Integrated innovation is the conventional strategy to the new product development in our country. Integrated innovation developed on the knowledge management platform. Based on the sample data of state-owned enterprises and by means of structural equation model, the empirical study inspected the relationship among the knowledge transformation, the integrated innovation and the new product competitiveness, and revealed the competitive mechanism of the knowledge transformation in the integrated innovation mode for the promotion of new product,and found the path of advantages and the shortcomings, and put forward the specific improvement strategy of the new product research and development, which provided practical theory reference for cultivating the research and development ability of the new product. The research have found that the promoting function of knowledge combination relatively is complete, and the function of socialization of knowledge, explication of knowledge and implication of knowledge remains to be improved.