Computational Analysis of Firms’ Organization and Strategic Behaviour

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Management and organization theories have, in the years, developed rich methodological paraphernalia to test hypotheses. Methods and techniques impinging on probability theory and econometrics allow researchers to rigorously test hypotheses and produce robust theories. This book addresses possible applications of computer simulation to theory building in management and organizational theory. The key hypothesis is that modelling and computer simulation provide an environment to develop, test and articulate theoretical propositions. In general, computer simulation provides an experimental environment where researchers are able to play with symbolic representations of phenomena by modifying the model's structure and activating or deactivating model's parameters. This environment allows to both generating hypotheses to ex post explain observed phenomena or to ex ante generate distributions of unrealized events thereby envisioning areas for further empirical investigations.