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R&amp;D in MECHANICAL CLUSTERThe evidence shows that product development and well-developed research structures, together with other forms of innovation, are vital for a dynamic cluster. Innovation maintains the cluster at thefore front of the market whilst a strong R&amp;D base can provide the ideas and products for future development. &lt;img style="WIDTH: 383px; HEIGHT: 233px" height="233" hspace="5" src="/files/02505200512.01.35-mec6.7dvd" width="383" align="left" vspace="5" border="0" />The promotion of innovation and R&amp;D are two separate activities, although inter-related. Innovation generally refers to product or process development whilst R&amp;D refers to thedevelopment of new knowledge. In the best cases successful innovation is theoutcome of the R&amp;D process. Research institutes including universities, non-profit foundations and for-profit R&amp;D can play an important role as catalysts for research and innovation. They can be the base for developing new ideas and applications but can also play a critical role in nurturing high technology entrepreneurialism. Public and private research facilities can be key drivers within the cluster. Of course sometimes it is not sufficient to simply establish a science or technology park. To promote research and innovation there must exist strong linkages between researchers and local firms. Many organisations now provide an integrated support service for firms that wish to make use of it, nurturing small firms, acting as technology transfer bodies and promoting university-firm linkages.Source: A Practical Guide to Cluster Development A Report to the Department of Trade and Industry and the English RDAs by Ecotec Research &amp; Consulting </PRE>