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The aims of this study are analyzing the influence of knowledge management and intellectual capital against sales performance through product innovation as the intervening variables on SMES as partially and Simultaneously. The research type is a causal research to obtain evidences of causal relationships with a sample of 98 respondents as business owners SMES. The sampling technique used purposive sampling with questionnaires as the instrument to collect data whose result processed using method Scala Likert Summated Rating (LSR) with score 1 – 5. This research used technique of path analysis using Smart PLS. The results of this hypothesis indicated the knowledge management has a positive and significant against sales performance through product innovation (CR 10,674>1,96), intellectual capital has a positive and significant against sales performance through product innovation (CR 2,349>1,96), and knowledge management dan intellectual capital has a positive and significant influence on sales performance through product innovation, obtained the result of CR 6,480 (>1,96). The contribution of knowledge management and intellectual through product innovation against sales performance by 91,0%.The contribution of knowledge management and intellectual against product innovation by 78,5%.


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