The Impact of Creativity and Innovation on Increasing Micro Enterprise Income PKL Gading Fajar Sidoarjo

The purpose of this research first to identify and analyze variables influence creativity and innovation simultaneously towards entrepreneurship. Second, to identify and analyze variables influence creativity partially towards entrepreneurship. Third, to identify and analyze the partial effect of the innovation variables on entrepreneurship. Fourth, to identify and analyze the dominant influence between creativity and innovation of entrepreneurship.. Design/methodology/approach : This type of research is exploratory. Types of data used are data collected by primary and save a list of questions. Findings : The results are as follows: first, variables influence creativity and innovation simultaneously towards entrepreneurship. Second, creativity variables partially influence on entrepreneurship. Third, innovation variables partially influence on entrepreneurship. Fourth, innovation variables have the most impact on entrepreneurship. Research limitations/implications : Location of the research done on small welding shop in the district of Sidoarjo. Practical implications : The essence of entrepreneurship is the ability to create something new and different through creative thinking and innovative action to create opportunities. Originality/value : The role of SMEs can be said to be very important in the national economy. The role is mainly in the aspects such as increased employment opportunities, equity, income, rural economic development, and increase non-oil exports. Entrepreneurship is the ability to be creative and innovative basic, tips, and resources to look for opportunities to success.


INTRODUCTION
The understanding Micro Business is described in the Law of Micro, Small, Medium Enterprises (MSMEs) no. 20 year 2008 is productive business owned by individual and / or individual business entity fulfilling the criteria of Micro Enterprises as regulated in this Law. And street vendor (PKL) belong to micro business category.
The government's efforts to maintain MSME growth have resulted in two strategic programs, namely the entrepreneurship program and partnership program. The entrepreneurship program will be a base in human resource development. This is considered important and strategic because human resources are the basic elements that become the subject or the agent of development. The scarcity of natural resources can be overcome if quality human resources. Apparently in the calculus of economic development, entrepreneurship becomes an important factor that has been forgotten a lot.
Yaghoobi, Salarzehi, Aramesh and Akbari (2010) stated that entrepreneurs are people who dare to open independent productive activities.
Entrepreneurship is a humanitarian characters that works great in managing a business, because entrepreneurs with an entrepreneurial spirit will show the dynamic, innovative and adaptive nature of innovations to the changing progress of science and technology. With high entrepreneurship then management will be able to be repaired continuously.
The formulation of the problem in this research is: Is Creativity (X1) and Innovation (X2) partially and simultaneously influence to increase income (Y) . Theory which is often used as a thinking base to know the relationship between Creativity and Innovation. .

MATERIAL AND METHOD
The type of research conducted is Explanatory Research. This research type is chosen in order to build an analysis result that can function to explain, predict and control a symptom or relation between i ndependent variable with dependent variable (Sugiyono, 2005: 56). In this study, the data used are primary and secondary data. Primary data is obtained from street vendors (PKL) about the variables of creativity, innovation and income increase through the distribution of questionnaires to respondents. The population in this study are the street vendors (PKL) Gading Fajar, which number 30 in Sidoarjo District Sidoarjo Regency. And this study will use the total population because the amount is not too large.
The method of data analysis used in this research is by using method of quantitative analysis. Quantitative analysis method is a method performed on data in the form of numbers or numbers by collecting data, classifying data, explain, and analyze, so as to provide appropriate information and picture.
Analysis of data used to determine the effect of two independent variables or more together to the dependent variable. The magnitude of the effect will be shown by the regression coefficient. Many observational data are occurring as a result of more than 2 variables. According Sugiyono (2004: 217) with the number of independent variables then to find the influence of the three variables above using the formula: 1. Based on the data of the questionnaire distribution that has been done and then processed through the application software program SPSS 14.00 for windows, it can be seen the results of multiple linear regression analysis partially and simultaneously. The results of multiple linear regression analysis can be seen in Table 1.  Table 1 shows that influence of independent variable to dependent variable is big, it can be seen on coefficient of determination value (R2) that is equal to 0,702 with significance level F Count 0.000. The result of the calculation can be explained that the influence of creativity and innovation to increase income can be

Entrepreneurship
Jong and Wennekers (2008) states that entrepreneurship can be defined as taking risks to run your own business by exploiting opportunities to create new business or innovative approaches so that managed businesses grow bigger and more independent in the face of competitive challenges. Keywords of entrepreneurship are: taking risks, running your own business, taking advantage of opportunities, creating new ventures, innovative, independent approaches (eg not dependent on government assistance).

Baldacchino (2009) states that entrepreneurship is a creative and
innovative ability that is used as the basis, tips, and resources to seek opportunities for success. The essence of entrepreneurship is the ability to Creativity is what will bring entrepreneurs to innovate against his business.

Creativity
Suryana (2003)  The Impact of Creativit y and Innovation on Inc reasing Micro Enterprise Inc ome PKL Gading Fajar Sidoarjo Arif Syaifudin 94 | P a g e h) Availability to take calculated risks (willing to take calculated risks).

Innovation
Larsen, P and Lewis, A, (2007) states that one of the most important characters of the entrepreneur is his ability to innovate. Without innovation the company will not last long. This is due to customer needs, wants, and customer demands. Customers will not always consume the same product. Customers will look for other products from other companies that are perceived to satisfy their needs. For that reason, it needs continuous innovation if the company will go further and still stand by its business. Innovation is something about goods, services or ideas that are felt new by someone. Although the idea has long existed but this can be said an innovation for people who just saw or felt it.
The Gading Fajar Traders can innovate in the areas of: 1) Product innovation (goods, services, ideas and places).
In doing innovations need to pay attention to the following principles: 2) The effects of environmental changes on the product life cycle are shorter, meaning that old products or services must be replaced with new ones in quick time, and this can happen because there are creative thinking that generates innovation.
3) Consumers today are smarter and demand fulfillment. Hope in the fulfillment of needs expect more in terms of quality, renewal, and price. Therefore, innovative skills are needed to satisfy the needs of consumers while keeping customers as customers. 4) With the rapidly changing market and technology, a good idea can be more easily replicated, and this requires new, better and better method of using products, new processes, and faster services.