A marketing strategy comparison: Finland, western United States, and British Columbia

Fixed-format interviews with 102 of the largest softwood sawmills in Finland, the western coastal and inland regions of the United States, and the coastal and inland timber regions of British Columbia, Canada, were completed. The interviews compared and contrasted the marketing strategies used in these five regions. The marketing strategy concept was measured in two ways — in terms of a firm’s perceived emphasis on targeted customer groups, product types, and market areas served; and how a company views itself relative to competitors on nine factors describing marketing competence. An overall response rate of 86.4 percent of the targeted “largest” fins represented 71, 77, and 58 percent of the total sawn softwood production in Finland, British Columbia, and the western United States, respectively. Finnish responding firms were much smaller than those in British Columbia and the western United States and generally followed a more focused customer strategy of a few well-defined segments and known end users. A sawmill’s product strategy appears to be a function of firm size and export orientation. Domestically oriented western U.S. responders emphasized a non-differentiated commodity product strategy; in contrast, firms in British Columbia and Finland emphasized a differentiated product strategy. All responders, particularly those from western U.S. and Finnish firms, stressed a market area strategy of a few, well-defined countries/regions. Finnish and western inland U.S. firms perceived their unique marketing competencies to be intensive personal selling and customer relationships. Coastal B.C. firms felt market share and competitive prices were their strengths. Inland B.C. respondents viewed transportation expertise and effectiveness of marketing channel to be their advantages. Western coastal U.S. respondents perceived their marketing competencies to include customer relationships and a well-known product brand. Results of this study will aid strategic planning in the study regions. Changing external factors such as environmental issues affecting resource supplies and innovative new processing technologies will require flexibility and adaptation to change. Strategic planning may be viewed as an adjuster between a company and its external environment. Firms may also use this information to gauge their current and future direction vis-a-vis the competition.

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