<![CDATA[The Small and Medium Enterprises (SMEs) sector is one of the backbone of the Indonesian economy and there are still many weaknesses, especially in small cities and underdeveloped areas.Many SMEs engaged in the same industry, however there are those who are successful and not successful.The study analyzes the effect of resource-based views consisting of human capital, structural capital and relational capital on the innovation capabilities of SMEs in the Madiun City. The analysis unit is the owner of SME’s business with the sampling of 120 respondents. The sampling technique was purposive sampling and the surveys was taken by using questionnaires. Multiple regression analysis was employed to process the data.This study provides results that RBV theory that consist of human capital, structural capital and relational capital has no impact on the innovation capabilities of SMEs in Madiun.]]>
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