Biotechnology entrepreneurs and networks: a case study of Melbourne, Australia

This paper addresses the articulation between entrepreneurs and networks in the biotechnology industry, using Melbourne as a case study. It is based on public record sources and interviews with CEOs and industry informants. The paper finds that the 'network form' of organization is characteristic of biotechnology companies in Melbourne, comparable to US biotechnology companies as described by the sociologist Walter Powell. As in the US, the network form promotes geographical clustering in Melbourne, driven by research and venture capital networks. The network form in the Australian context is also associated with internationalization, especially with US biotechnology and pharmaceutical companies. Entrepreneurs emerge from different parts of the network; hence 'scientist-entrepreneurs' and 'finance entrepreneurs'. Whatever the case, entrepreneurs play a critical role in forging the network, as opposed to managing it. From this perspective, the rising profile of entrepreneurs and networks in the 'New Economy' are not separate events. They are aspects of the same logic of organising.