Micro, small and medium enterprises play an important role in improving the people's economy. The contribution of small enterprises can increase state income, absorb labor, improve welfare evenly, and stimulate people's economy by leading to the entrepreneurial orientation to support better business performance. The purposes of the study were to find out the effect of entrepreneurial orientation on business performance and the effect of entrepreneurial characteristic on entrepreneurial orientation and performance. The respondents were taken from 60 independent entrepreneurs and KWT Tani rejo of the melinjo chips processing industry in Batang Regency. The data were analyzed using Partial Least square (PLS) approach. The results showed that entrepreneurial characteristic influenced entrepreneurial orientation and business performance. In addition, entrepreneurial orientation had a positive effect on the performance of melinjo chips processing business. Entrepreneurs who implement entrepreneurial orientation from innovativeness, proactiveness, competitive aggressiveness, risk-taking and power of autonomy side will have a good impact on their business performance.Abstrak: Usaha mikro, kecil dan menengah berperan penting dalam peningkatan ekonomi masyarakat. Kontribusi usaha kecil dapat meningkatkan pendapatan negara, banyak menyerap tenaga kerja, pemerataan kesejahteraan, dan penggerak ekonomi kerakyatan dengan mengarah pada orientasi wirausaha untuk menunjang kinerja usaha yang lebih baik. Tujuan penelitian mengetahui pengaruh orientasi kewirausahaan terhadap kinerja usaha serta pengaruh karakter wirausaha terhadap orientasi kewirausahaan dan kinerja. Responden diambil 60 pengusaha mandiri dan KWT Tani rejo pada Industri pengolahan emping melinjo di Kabupaten Batang. Analisis dilakukan menggunakan mendekatan Partial Least square (PLS). Hasil menunjukkan bahwa karakter wirausaha berpengaruh terhadap orientasi kewirausahaan dan kinerja usaha. Selain itu orientasi kewirausahaan berpengaruh positif terhadap kinerja usaha pengolahan emping melinjo. Pengusaha yang menerapkan orientasi kewirausahaan dari sisi inovatif, proaktif, agresif kompetitif, berani berisiko dan kekuatan otonomi akan berdampak baik pada kinerja usahanya.Kata kunci: UMKM, karakter wirausaha, orientasi kewirausahaan, kinerja usaha, PLS
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