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This paper examines the empirical impact of private entrepreneurial competencies on business development by drawing upon the resource-based view(RBV)of the firm and the theory of core competence. Data are collected via questionnaire from 400 private manufacturing businesses in Wuhan，China and the main methodology used is LISREL(Linear Structural Relations). The convergent LISREL model shows:(1)As a set of rare resources，private entrepreneurial competencies have made the direct contribution to business success;(2)Private entrepreneurial competencies indirectly affect business success through promoting the formation of core competence of the business.