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This research aims to examine the competitiveness and the strategic behavior of the Lebanese SMEs, through their possession and exploitation of strategic resource-capability combination attributes. A sample of 285 Lebanese SMEs were obtained through the use of a survey questionnaire and the non-probability sampling to collect primary and quantitative data. The results show that for Lebanese SMEs, not all resources-capabilities are of equal importance when creating competitive advantage. They indicate that only organizational resource-capability combinations are considered as strategic assets and related to differentiation advantage, financial resource-capability combinations are only considered as strategic assets and related to cost advantage, and that cost and differentiation advantage are both related to performance.