Network theory has recently been suggested as providing a useful framework for developing a change strategy by which the federal government can induce educational reform. In this paper the potential contributions of network theory are assessed by showing its close relationship to group theory. Then three critiques of group theory and practice--from within the group tradition itself, from a structural perspective, and from the viewpoint of utilitarian individualism--are shown to be applicable to network theory. The power of these critiques is illustrated by a review of the experiences of the community action program of the Economic Opportunity Act of 1964, and the implications for school-related interventions are stated. (Author)