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The aim of the paper is to assess heterogeneity of the innovation process. Using exploratory factor analysis on micro data from the third Community Innovation Survey in 13 countries, the authors identify four factors that that can be interpreted as research, user, external and production ingredients of innovation. All too often it is assumed that the differences between the rates at which these factors are found in firms' innovation strategies can be accounted for by differences across sectors and/or countries. To put this proposition under scrutiny, they partition variability of the innovation process into components identified by the different levels.
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