Sources of the Indiana hardwood industry's competitiveness

The estimated 1,600 forest products-related firms in Indiana employ more than 56,000 workers. Hardwood manufacturers are the largest segment, adding approximately $2 billion per year of raw product value. A recent report by BioCrossroads ranked the hardwood industry as the most important in the agricultural sector in Indiana. Like most of the other forest products manufacturers, the hardwood manufacturers have lost a sizable market share to imports and substitutes. To improve their performance in both the local and global markets, the Indiana hardwood manufacturers must have a clear understanding of how to assess their competitive position. This paper argues that to better understand the factors affecting competitiveness in this industry, research is needed that combines technology and economic analyses of competition.