This paper proposes a blended method, which is with failure mode and effect analysis (FMEA) and "Policy, Economic, Social, Technological (Military)", PEST analysis. It is able to provide an insight of problem with quantitative result for decision-maker. This method bases upon the concept of Multiple-criteria Decision Making (MCDM) employing multi-hierarchy scheme to simplify the complex issues in the first place. In PRC's views, the "scenario analysis" and "risk evaluation" are followed for weighting the influences of the South China Sea Issues and quantifying the military capability development alternatives of PRC. We find out the prevention and correction of high RPNs' events and set a standard five-step operation procedure as the references to the FMEA. We expect this method and conclusion can offer Ministry of National Defense (MND) another way to foresee our military capability development. The quantitative study will make an effective responsive measure in order to secure the sovereignty and national benefits.