Louisiana's forests represent an important resource for the state, bot
h in terms of income to landowners and as inputs to the forest product
s industry. The harvest of timber, which is Louisiana's number one agr
icultural crop both in terms of gross income and value-added processin
g, supports a solid wood forest products industry that consists of alm
ost 650 separate primary and secondary manufacturing establishments. T
otal 1995 sales by Louisiana's primary industry (lumber, plywood, and
other semi-processed products) is estimated to be $1.85 billion and 19
95 sales for the secondary forest products industry (furniture, cabine
ts, millwork, and other finished products) is about $648 million. Rese
arch has shown that the secondary wood products industry in Louisiana
has significant potential for expansion and development. Louisiana ran
ks low in adding value to its wood products resources and in other pro
ductivity indicators relative to neighboring states with similar resou
rce bases and industry structures. However, to attain this potential,
a wide variety of issues must be researched and understood such as exi
sting consumer market trends, location decision criteria, raw material
s availability and applicability, labor force skills and training requ
irements, target market identification, recruitment and retention stra
tegies, and sources of competitive advantage. This paper attempts to a
ddress some of these issues.