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Although R&D has been highlighted as the main and indisputable source of firm-level innovations, an important group of firms develops innovations without performing R&D activities. The primary goal of this study is to understand the sources of innovation in such firms. To accomplish this goal, we explore the role played by other, non-R&D activities that can lead to innovation - activities such as design, training, technology forecasting and the use of advanced machinery. [ABSTRACT FROM AUTHOR]