Current issue: 58(2)

Under compilation: 58(3)

Scopus CiteScore 2021: 2.8
Scopus ranking of open access forestry journals: 8th
PlanS compliant
Select issue
Silva Fennica 1926-1997
Acta Forestalia Fennica

Articles containing the keyword 'backward vertical integration'

Category : Research article

article id 303, category Research article
Lars Lönnstedt. (2007). Industrial timberland ownership in the USA: arguments based on case studies. Silva Fennica vol. 41 no. 2 article id 303.
Keywords: forest management; backward vertical integration; pricing; secured supply; owner structure
Abstract | View details | Full text in PDF | Author Info
The forest product companies’ ownership of timberland is decreasing in the United States as in many other countries. In aggregate the forest product industry owned 26.5 million hectares (11.6% of the U.S. timberland) in 2002 compared with 28.5 million hectares in 1987 (FIA 2006). Reasons for this decrease of timberland ownership are several and complex. This article presents four case studies of U.S.-based forest product companies. The vertical integration theory and empirical studies about timberland ownership give a base for the study. Four hypotheses are formulated on the basis of the literature. The results give support to two of them. An important reason for timberland ownership is a wish to secure deliveries. Market conditions are important for the need of owning timberland. Two of the companies did not own timberland, the main reason being more profitable alternative uses of capital. The ownership structure of the company, tradition, and culture are other important explanations for timberland ownership. This study did not show the advantage of timberland ownership for information and coordination.
  • Lönnstedt, SLU, Department of Forest Products, P.O. Box 7060, SE 750 07 Uppsala, Sweden E-mail: (email)

Click this link to register to Silva Fennica.
Log in
If you are a registered user, log in to save your selected articles for later access.
Contents alert
Sign up to receive alerts of new content
Your selected articles