Abstract: The digital economy has become the core area of ??strategic competition between the United States and China. In recent years, the United States has continuously strengthened its strategic deployment of digital competition with China, continuously upgraded relevant competitive means, and used its own influence to put pressure on third countries or regions, attempting to contain and encircle Chinese companies in all aspects, so as to weaken the competitiveness of Chinese companies in the international market. However, even in the face of such huge external pressure, Chinese companies still rely on their own strengths and characteristics to gain wide recognition in overseas markets. The resilience of Chinese companies is largely due to their disruptive innovation capabilities. This article systematically reviews the theory of disruptive innovation and compares this specific type of innovation with other types of innovation to clarify its unique connotation and essential characteristics. Huawei and Alibaba, two representative companies, are selected as typical cases for in-depth research. Looking back on the growth process of the two companies from initially marginal small companies to global technology leaders, the shaping strategies and driving factors of their disruptive innovation capabilities in this development process are analyzed. This paper further discusses how Huawei and Alibaba use the unique advantages of disruptive innovation to effectively resist isolation and containment from the Western camp in the Southeast Asian market, successfully win the high trust and support of the local market, and obtain market positions in the fields of smart cities and 5G communications that are difficult for Western companies to replace. It is hoped that this will provide theoretical directions and experience inspiration with reference value, and help Chinese companies develop steadily in the increasingly severe suppression and containment situation and the complex and ever-changing international competition environment.

Key words: Disruptive innovation, Digital economy, Great power competition, Southeast Asia