With the economic globalization and rapid development of high-tech, knowledge transfer as the controllable resource and decisive factor of sustainable competitive advantage in strategic alliance, has a positive impact on the improvement of alliance performance. In this paper, With an empirical investigation of 203 enterprises' sample in China, several research hypotheses are tested. The result shows that interfirm knowledge transfer has a positive impact on alliance performance. Interfirm knowledge transfer plays a significant positive impact on alliance performance mainly through the dimensions of comprehension and economy, but the speed of knowledge transfer does not have positive effects on alliance performance. Then, this paper gives some theoretical deductions and interpretations with the combination of market features and alliance features of China. The conclusions have a certain value for the further research and business management practices.