This study aims to examine the effect of product innovation, labor, and marketing on the development of handicraft SMEs in Purwanegara District, Banjarnegara Regency. This quantitative study has a population of small and medium enterprises in handicrafts in Purwanegara District, Banjarnegara Regency, amounting to 75 entrepreneurs with a sample of 45 entrepreneurs. Data were collected by questionnaire and analyzed by descriptive analysis and multiple regression. The results of the study show that there is a positive influence of product innovation, labor, and marketing together on the development of handicraft SMEs. Product and labor innovation have a positive effect on the development of handicraft SMEs, while marketing does not have a positive effect on the development of handicraft SMEs.
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