The Sociological Theory of Crozier and Friedberg on Organized Action Seen Through a Simulation Model

The paper shows certain dynamics aspects of competition among firms, particularly in the biotechnology sector, using innovation networks in accordance with the sociological theory of organized action of Michel Crozier and Erhard Friedberg. Firstly it provides an overview of relevant literature on innovation and biotechnology firms. It also reviews briefly the mentioned theory which is represented in a simple System Dynamics simulation model. The sociological concepts of actor, game, and system, are examined through the lenses of the model. Basically, the model provides a ground in order to discuss, develop and test particular theoretical statements of Crozier and Friedberg and the implications of their assumptions that are not intuitively obvious. The match between these two different approaches shows a way to bridge scientific disciplines that maybe are not far away one from each other.