This study aims to analyze the effect of competence, work motivation, and entrepreneurial literacy on the performance of MSMEs with entrepreneurial orientation as a mediating variable. This study is included in explanatory/confirmatory research and uses a quantitative approach. The population of retail trade MSMEs in Banyuwangi District, Banyuwangi Regency. The number of samples refers to the Slovin Formula of 177 people taken by accidental sampling. Data analysis uses SEM-PLS path analysis with WarpPLS. Finding result indicate that work motivation and entrepreneurial literacy has effect on entrepreneurial orientation. While work motivation does not significantly effect on entrepreneurial orientation. Competence and entrepreneurial literacy has effect on the performance of MSMEs, while work motivation does not significantly effect on the performance of MSMEs. Entrepreneurial orientation has effect on the performance of MSMEs. Indirect testing shows that competence does not effect on the performance of MSMEs through entrepreneurial organizations as interventions in MSMEs, while work motivation and entrepreneurial literacy has effect on the performance of MSMEs through entrepreneurial organizations as interventions in MSMEs.
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