The research was focus on exploring the growth strategy of small and medium business in Taiwan. We are interested in finding the orbit and the logic of Taiwan¡¦ small and medium business, which are growing rapidly and becoming global business recently. However, how to explicit the competitive advantage of business growth is a complicated and tacit task. The methodology of the research applied the grounded theory to do the qualitative analysis. After sampling from Taiwan passive component industry base on the strategic group, we will proceed the in-depth interview with the top management team of the businesses. The first-hand data and information from interview will be analysis, comparative, and coding repeatedly and iteratively. Gradually, the category and abstract concept will be emergent from the outcome of coding. The theory will be constructed from the relation of the concepts until the saturation it reached. The research founded that to catch the "strategic timing fit" was the orbit and the logic of Taiwan¡¦ passive component industry. There were three timing in the rapidly changing and creative environment: a) timing of technological paradigm transition; b) timing of production transition; c) timing of entrance and existence of competitors. The leaders of the firms in the case showed that they built the strategic capabilities and resources within the organization to meet the "strategic timing fit", which was the key factor of rapid growth in the past decade.