The relationships between market orientation, learning orientation, financial literacy, on the knowledge competence, innovation, and performance of small and medium textile industries in Java and Bali

The purpose of this study is to provide new practical and theoretical insights on how SMEs adjust and further develop business competencies, innovations and performance by utilizing market orientation, learning orientation behaviors, and financial literacy. The data was collected from manufacturing small and medium enterprises (SMEs) of textile products that had several employees between 5 and 99 people in the province of Bali and Jawa, Indonesia, in 2016. Central Java as one of the provinces that has various types of creative centers has a role big as a reference model for other provinces in the development of MSMEs. The results of the study confirm the influence of financial literacy on the performance and innovation of creative MSMEs in Central Java. This has implications that with good financial literacy, it is expected that MSMEs will be able to make the right management and financial decisions to improve performance and innovation. With this finding, it is expected that significant support will emerge from the government as a regulator, academics as educators, the private sector as a catalyst, and the community as a driver for the development of financial literacy at MSMEs in Central Java. The lack of studies in the existing literature underscores the potential contribution of this subsequent study.