The continued production of undifferentiated products in the B.C. forest industry has fascinated and divided provincial historians. The causes of this orientation of production are varied and complex. The provincial government and British Columbia's forest companies have each played a role in determining the orientation of production. The undifferentiated end products of these firms were the consequence of conscious government and business decisions made in British Columbia in the post-war period (1945 - 1979). B.C. forest resources were (and remain) owned and administrated by the government. Private access to these assets was (and is) determined by provincial statute. The government was instrumental in orienting the undifferentiated production undertaken by MacMillan Bloedel and B.C.F.P. in two fashions: by systematically subtracting value from the resource in order to attract capital to the industry; and, by adopting a variety of other policy initiatives that promoted the establishment of large-scale enterprises. Professor Michael E. Porter, in his book, The Competitive Advantage of Nations, argues that a firm's end products are the result of its competitive advantages and disadvantages. The two firms examined in this essay possessed two competitive advantages that promoted undifferentiated production: a high degree of productive integration from supply through to marketing: and large-scale production. Competitive disadvantages can allow a firm's products to become less advanced over time, or can preclude the advance to more differentiated production. Four competitive disadvantages prevented the development of differentiated products by Macmillan Bloedel and B.C.F.P. First, a super abundance of timber perpetuated undifferentiated production. With the continued supply of excellent quality timber protected by the government, competitive supply pressures were eliminated, and the resource was not evaluated or utilized to its maximum potential. Second, the integration of downstream supply networks by M.B. and B.C.F.P. impoverished lower levels of the industry. While this provided cost advantages to the producers, it limited the number of suppliers. Third, managerial incompetence at MacMillan Bloedel , and a narrowness of focus at B.C.F.P., limited the productive opportunities of these two firms. Finally, the collaboration of the two firms in marketing their undifferentiated products also diminished competitive pressures needed to promote differentiated production. Thus, contrary to some previous analytic approaches, the production orientation of these two firms can be explained with an historical analysis of their competitive advantages and disadvantages in the post-war period.

The pressure on corporations to manage their operations in an environmentally responsible manner has increased rapidly in the last decade. These pressures are especially intense for resource-based companies. In the province of British Columbia, environmental policy, which is the basis of many forms of intervention by the provincial government, constitutes a significant constraint on the operations of forest companies. Diverse environmental group campaigns addressing issues such as preservation of temperate coastal rainforest, forest management practices, and air and water pollution by pulp and paper mills, have contributed to intensifying the environmental pressures on companies. Yet it is apparent that forest companies in B.C. which face similar competitive conditions and are regulated by the same environmental policies have responded differently. The research question addressed in this study was "Why do corporate responses to government and environmental group actions designed to protect the environment differ between corporations?" The research question was examined through the use of a comparative case study research strategy. Two B.C.-based companies which showed prima facie evidence of having divergent responses to environmental pressures were chosen for the study. Data was collected on government and environmental group actions on environmental issues for the period 1983 to 1997 to determine the substantive nature of the issues faced by corporations and to trace their evolution over the period covered by the study. Data on corporate responses between 1983 and 1997 was collected through interviews, newspaper reports, and corporate documents. The data was analyzed through a framework based on four theories of organization. Four models were specified in terms of their unit of analysis, organizing concepts, dominant inference patterns, and propositions: the rational choice model; the institutional model; the bureaucratic model; and the leadership model. The case studies demonstrated that while some government actions had distinct effects on the companies, and though one was the target of interest group actions more intensively and frequently than the other, the general operating and regulatory environment of the companies was more similar than it was distinct. Analyzing organizational characteristics with the use of the theoretical framework accounted for much of the difference in response. The rational model was not generally supported except in limited decision-making situations. The institutional model explained corporate stance in terms of the content and sources of institutional pressures. The bureaucratic model explained organizational output by illustrating how structural characteristics affected issues of goal setting and implementation of responses. The leadership model explained the extent to which changes in corporate strategy resulted from different types of leadership behaviour, subject to situational constraints. The four models were then integrated to derive some theoretical implications for academic research and some managerial implications for corporate managers.

The continued production of undifferentiated products in the B.C. forest industry has fascinated and divided provincial historians. The causes of this orientation of production are varied and complex. The provincial government and British Columbia's forest companies have each played a role in determining the orientation of production. The undifferentiated end products of these firms were the consequence of conscious government and business decisions made in British Columbia in the post-war period (1945 - 1979). B.C. forest resources were (and remain) owned and administrated by the government. Private access to these assets was (and is) determined by provincial statute. The government was instrumental in orienting the undifferentiated production undertaken by MacMillan Bloedel and B.C.F.P. in two fashions: by systematically subtracting value from the resource in order to attract capital to the industry; and, by adopting a variety of other policy initiatives that promoted the establishment of large-scale enterprises. Professor Michael E. Porter, in his book, The Competitive Advantage of Nations, argues that a firm's end products are the result of its competitive advantages and disadvantages. The two firms examined in this essay possessed two competitive advantages that promoted undifferentiated production: a high degree of productive integration from supply through to marketing: and large-scale production. Competitive disadvantages can allow a firm's products to become less advanced over time, or can preclude the advance to more differentiated production. Four competitive disadvantages prevented the development of differentiated products by Macmillan Bloedel and B.C.F.P. First, a super abundance of timber perpetuated undifferentiated production. With the continued supply of excellent quality timber protected by the government, competitive supply pressures were eliminated, and the resource was not evaluated or utilized to its maximum potential. Second, the integration of downstream supply networks by M.B. and B.C.F.P. impoverished lower levels of the industry. While this provided cost advantages to the producers, it limited the number of suppliers. Third, managerial incompetence at MacMillan Bloedel , and a narrowness of focus at B.C.F.P., limited the productive opportunities of these two firms. Finally, the collaboration of the two firms in marketing their undifferentiated products also diminished competitive pressures needed to promote differentiated production. Thus, contrary to some previous analytic approaches, the production orientation of these two firms can be explained with an historical analysis of their competitive advantages and disadvantages in the post-war period. / Arts, Faculty of / History, Department of / Graduate

The pressure on corporations to manage their operations in an environmentally responsible manner has increased rapidly in the last decade. These pressures are especially intense for resource-based companies. In the province of British Columbia, environmental policy, which is the basis of many forms of intervention by the provincial government, constitutes a significant constraint on the operations of forest companies. Diverse environmental group campaigns addressing issues such as preservation of temperate coastal rainforest, forest management practices, and air and water pollution by pulp and paper mills, have contributed to intensifying the environmental pressures on companies. Yet it is apparent that forest companies in B.C. which face similar competitive conditions and are regulated by the same environmental policies have responded differently. The research question addressed in this study was "Why do corporate responses to government and environmental group actions designed to protect the environment differ between corporations?" The research question was examined through the use of a comparative case study research strategy. Two B.C.-based companies which showed prima facie evidence of having divergent responses to environmental pressures were chosen for the study. Data was collected on government and environmental group actions on environmental issues for the period 1983 to 1997 to determine the substantive nature of the issues faced by corporations and to trace their evolution over the period covered by the study. Data on corporate responses between 1983 and 1997 was collected through interviews, newspaper reports, and corporate documents. The data was analyzed through a framework based on four theories of organization. Four models were specified in terms of their unit of analysis, organizing concepts, dominant inference patterns, and propositions: the rational choice model; the institutional model; the bureaucratic model; and the leadership model. The case studies demonstrated that while some government actions had distinct effects on the companies, and though one was the target of interest group actions more intensively and frequently than the other, the general operating and regulatory environment of the companies was more similar than it was distinct. Analyzing organizational characteristics with the use of the theoretical framework accounted for much of the difference in response. The rational model was not generally supported except in limited decision-making situations. The institutional model explained corporate stance in terms of the content and sources of institutional pressures. The bureaucratic model explained organizational output by illustrating how structural characteristics affected issues of goal setting and implementation of responses. The leadership model explained the extent to which changes in corporate strategy resulted from different types of leadership behaviour, subject to situational constraints. The four models were then integrated to derive some theoretical implications for academic research and some managerial implications for corporate managers. / Business, Sauder School of / Graduate