Abstract:IT productivity paradox and investment "black hole" made people suspect IT could enhance company's competence.To solve the problem,the paper choose the listed Chinese top 500 enterprises of IT level as samples to analyze the relationship between competence and IT level of enterprises.Research finds that company's IT level make a positive impact on the level of competition,and the bigger company's scale is,the more significant the impact is,and this impact will delay.This study could guide Chinese companies to invest information technology.