The power of social network analysis stems from its difference from traditional social scientific studies, which assume that it is the attributes of individual actors—

whether they are friendly or unfriendly, smart or dumb, etc.—that matter.

Social network analysis produces an alternate view, where the attributes of individuals are less important than their relationships and ties with other actors within the network. This approach has turned out to be useful for explaining many real-world phenomena, but leaves less room for individual agency, the ability for individuals to influence their success, because so much of it rests within the structure of their network.

Social networks have also been used to examine how organizations interact with each other, characterizing the many informal connections that link executives together, as well as associations and connections between individual employees at different organizations.

For example, power within organizations often comes more from the degree to which an individual within a network is at the center of many relationships than actual job title. Social networks also play a key role in hiring, in business success, and in job performance. Networks provide ways for companies to gather information, deter competition, and collude in setting prices or policies