Their route of advancement will be limited if they adhere to strict orthodoxy, and innovation is challenging. To examine the mechanism of product innovation in traditional craft firms in China, this research looks at the management and staff of front-line businesses. This study examines the structural relationship between social capital and product innovation capability from the perspective of social capital. It also examines the connection between learning orientation, social capital, and product innovation capability. Finally, it examines the moderating role of cross-border search on the influence of learning commitment on product innovation capability. The findings indicate that learning orientation and its three dimensions mediate the relationship between social capital and product innovation ability, and cross-border search positively modifies the relationship between learning orientation and its three dimensions and product innovation ability. Social capital and its three dimensions have a significant impact on product innovation ability. This study offers a useful reference for the management style of Chinese traditional craft firms based on theoretical research.