Knowledge networks can be divided into local knowledge networks and ultra-local knowledge networks from the geographical perspective，both of them provide different kinds and natures of knowledge for clustered firms commonly．Based on the extant literatures of knowledge networks，knowledge integration and innovation，the paper empirically tests the relationship between dual embeddings and innovation capability by utilizing the data collected from five clusters of Zhejiang province，and the empirical results show that dual embeddings positively affects innovation capability，and clustered firms should achieve an organic integration of different networks to get heterogeneous resources and capabilities through embedding into both local and ultralocal networks．we also explore the mediation effect of knowledge integration between dual embeddings and innovation capability from the complementary knowledge integration and supplementary knowledge integration．