Based the list companies data during 2003 and 2014，this paper explores the strategic effect of corporate philanthropic donations from the perspective of competition in the product market.The result indicates that philanthropic donations is positively related to the competition intensity of enterprises in the product market.Using religious culture as an instrument variable to ease the endogeneity problem，the positive relationship still holds.Moreover，Advertisement marketing and product innovation will strengthen this strategy effects.However，when the year is shocked by the earthquake，the competitive effect would be relatively weakened.Compared with the state owned enterprises，competitive effects in non state owned enterprises are much stronger.In addition to this article，we also find that corporate managers could identify the general effect of product market competition with charitable donations，which means that the more products supplied to market and direct contact to consumers，the more corporate charitable donations will be collected.