<p>Business organizations are required to be able to do effective marketing. Market change demands a business organization to have a marketing capability in innovation and respond to in making a product to be competitive so that creating a quality product. Creating a quality product is influenced by the knowledge of the product to be created so as to produce good marketing performance. The purpose of this study is to see how big an influence towards knowledge sharing innovation capability, the capability to respond to the market and performance marketing. A questionnaire was given to owner business who are in the Berastagi City using purposive sampling with accidental sampling. Reliability and validity of measured through the median and variation analysis of Cronbach's alpha, Analysis using SEM model structure with SMARTPLS used to test the relationship between research variables using 100 respondents. The results showed that sharing knowledge is a positive and significant effect on the capabilities of innovation and responsive capabilities, but cannot be a positive effect on performance marketing. The responsive capability of innovation and capability can affect the performance of marketing in a positive and significant.</p>