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Jurnal Ekonomi Teknologi & Bisnis (JETBIS)

Volume 3, Number 2 February 2024

Regency has abundant natural resources when viewed from the economic variables of their income.

significantly stimulate productive economic activities and at the same time foster the entrepreneurial

spirit of the community.

of micro-businesses, namely small businesses as many as 7715, and the largest is in Tenggarong

District as many as 1,741 Small Businesses, while medium businesses amount to 283 and the largest

are also in Tenggarong with 107 businesses. If the indicator of community economic activity is

SMEs, then people's economic activity in this area has only reached 17%. Furthermore, SMEs in

this area generally still rely on their own capital (80.56%), followed by a combination of their own

from the capital, the business development carried out by SMEs in this area, cannot develop quickly,

but on the other hand has high independence (Saydam, 2000).

obtained from capital owned and borrowed capital. The majority of MSME actors still use their

capital without getting carried away with other sources of capital. It can limit the growth of his own

business (Suindari & Juniariani, 2020). With the availability of loan capital or other sources of

capital, it is hoped that business activity will grow more due to capital increases that can be used for

productive activities. There are still many MSME actors who think about the effects that will be

obtained when using capital not only their capital. Meanwhile, that can be an obstacle to the

development of his own business. A business can be said to grow if the amount of creation as well

been able to make the correct financial reports. Calculations between expenses and income are still

being written down in manuals. This can make a business not run smoothly optimal (Gibson &

Wahid, 2003).

the operational performance of a business. Innovation produces quality entrepreneurial skills and

not only that, interpreting new ideas that can generate or increase value to customers. (Barringer &

Ireland, 2010) explain that creativity and innovation involve the creation of something new. With

the existence of this creativity and innovation, both are not can be separated from entrepreneurship

because innovation will be born from that form of creativity Alone. Not only that for Kru-ger,

(Busaka, 2019) creativity is required to Build entrepreneurial skills to achieve a competitive

advantage. The quality of a product can achieved with continuous innovation, so that this can happen

The research method used in this research is quantitative research that uses multiple linear

regression to test the hypotheses given in the research framework. The research variable used is the

dependent variable is the performance of SMEs (Y) and the independent variables are business

capital (X, knowledge (X2), and innovation (X3).follows:



  

  

Note:

Y = Performance of SMEs

β_1 = Business capital Coefficient,

β_3 = Innovation Coefficient,

β_0 = Regression Constanta,

ɛt = Error

In this study, hypothesis testing was carried out through the t-test to determine the effect of

each variable partially. The t-statistic value will be compared with the t-table value with the

confidence level used is 95% at a significance of α = 5% or 0.05 with a t-table value of 1.96. If the

t-statistic value ≥ t-table, then H0 is rejected, otherwise H0 is accepted if the t-statistic < t-table

(Ghozali, 2018). Furthermore, a P value < 0.05 indicates that H0 is rejected and a P value > 0.05

indicates that H0 is accepted. Furthermore, the F test was conducted to determine the effect of the

linear regression model, where the independent variables are Business Capital (X1), Knowledge

(X2), and Innovation (X3) while the dependent variable is MSME Performance (Y).

1.136

.107

.038

2.333

.002

the multiple linear regression model show that X1 - Y in a partial or separate test has a significant

influence on the performance variable of MSMEs, this is indicated by a significance value smaller

than the 5% alpha value, namely (0.000 < 0, 05). This means that the Business Capital variable (X1)

has a significant positive effect on MSME Performance (Y).

of the regression analysis of Knowledge (X2) on MSME Performance (Y). Based on the output

above, the results of the direct influence coefficient model of multiple linear regression are known

variable, this is indicated by a significance value smaller than the 5% alpha value, namely (0.004 <

0.05 ). This means that the Knowledge variable (X2) has a significant positive effect on MSME

Performance (Y).

results of the regression analysis of Innovation (X3) on MSME Performance (Y). Based on the

output above, the results of the direct influence coefficient model of multiple linear regression show

that X3 - Y in a partial or separate test has a significant influence on the MSME Performance

variable, this is indicated by a significance value smaller than the 5% alpha value, namely (0.002 <

0.05 ). This means that the Innovation variable (X3) has a significant positive effect on MSME

Performance (Y).

satisfied with the business what we do.

merchants will also increase, as well with entrepreneurial behavior, if the attitudes, skills, and answer

goes up, then automatically the profit of the traders will also go up.

of the regression analysis of Knowledge (X2) on MSME Performance (Y). Based on the output

that X2 - Y in a partial or separate test has a significant influence on the MSME Performance

variable, this is indicated by a significance value smaller than the 5% alpha value, namely (0.004 <

0.05). This means that the Knowledge variable (X2) has a significant positive effect on MSME

Performance (Y).

calculation shows a level significance of 0.000 < 0.05 then Ho rejected or in other words digital

marketing (X) has a significant effect on interest in entrepreneurship (Y) strong relationship. It can

be seen from the results of the coefficient analysis is 0.928. The results of the analysis of the

coefficient of determination show the value of the coefficient of determination by 86.1%. The result

of the calculation means that digital marketing affects the interest in entrepreneurship by 86.1%

variable, this is indicated by a significance value smaller than the 5% alpha value, namely (0.002 <

0.05). This means that the Innovation variable (X3) has a significant positive effect on MSME

Performance (Y).

continuous search for better products, services, and ways of doing things or methods, try to

continuously improve their internal capabilities and other resources. The more innovative the

company, the stronger the competition. A more productive company is a more efficient use of its

resources. This means that when a company continues to create new ideas aimed at the development

of production and creative ideas have been carried out and applied to innovate, namely product

innovation, promotional innovation, and distribution, it will be able to attract consumer sympathy to

be able to buy it.

coefficient of 0.889, Innovation has a positive and significant effect on the performance of MSMEs

in Kutai Kartanegara Regency with a significance value of 0.002 and a regression coefficient of

2.333.

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