Introduction Globalization and demographics are changing the competitive landscape
today much like environmental issues did in the last decade.
II. Is U.S. forest
products industry still competitive?-overcapacity and more intense international competition from
both inside and outside the forest products industry has led toloss of market share (offshore and
profitability, job losses, forest ownership changes, etc.Is the U.S. forest products industry losing its competitive
position in commodities?What are implications for stumpage prices and land
More on Survival strategies
no silver bullet different strokes for different folks - - consolidation; joint
ventures; retrenchment to core business; outsourcing; change businesses; move up the value
chain; get closer
to your customers (move down the supply chain move away from wholesale to retail).
interesting results :
industry growing much faster than primary industry could lead to lower demand for fiber?
- housing market example
- furniture industry example
forest product companies are rethinking their core assets & selling their forest land holdings to generate cash to
invest in core business & pay down debt
Bottom line The world is changing! U.S. forest
products industry cant continue doing the same things the same way
and expect business to get better paradigm shift/ new
business model(s) needed? Potentially major implications for
domestic timber markets?