ABSTRACT

Small Medium Enterprises (SMEs) is an entrepreneurship activity that became one of Indonesia’s economic development priorities because of its large contribution towards national income. The success of SMEs is expected to increase national income continuously. Therefore, identifying factors that affect business success is important. Two of these factors are entrepreneurial skills and innovations. The purpose of this study is to investigate the impact of entrepreneurial skills and innovation on business success in knitting industry. The population of this study are 225 knitting industry entrepreneurs, while the sample are 70 knitting industry entrepreneurs. The sample technique used is simple random sampling. The result shows that entrepreneurial skills and innovation have significant impact on business success.