Aerial Industry with huge market size (100 billion $) and high growth rate (5% annually) is one of the strategic and high technology industries. Avionic sector and its technologies have a significant share of this industry. Accordingly, technology capability improvement is so vital for the firms of this sector. In this paper, has been tried to present a comprehensive model to improve the technological capability of Iranian avionic firms by using explanatory mixed method. While by using quantitative analysis we investigated and confirmed the study’s constructs, relations among variables and constructs and final model, we tried to interpret the model and quantitative results as deeply as possible by using some qualitative methods like narrative study and case study. The results showed technology capability improvement in these firms related to the development of dynamic capabilities including the capabilities of environmental sensing, technological opportunities’ seizing, technological learning and technological resource reconfiguring. Accordingly, development of these dynamic capabilities was directly related to the strategic orientation of avionic firms. The firms with aggressive and dynamic orientations were more successful to generate and develop these dynamic capabilities and also their technological capabilities.