Nowadays, the market barrier and geographic boundary are already broken down by globalization and innovation has become the decisive driver of growth and performance. This paper investigates the closed innovation and open innovation and explores the innovation process of two Chinese companies, aiming to contribute to debate on innovation management and enrich people’s understanding. Nowadays, the market barrier and geographic boundary are already broken down by globalization and innovation has become the decisive driver of growth and performance. This paper investigates the closed innovation and open innovation and explores the innovation process of two Chinese companies, aiming to contribute to debate on innovation management and enrich people’s understanding.