Polovska, V.

Electronic Sumy State University Institutional Repository

ECOLOGIZATION OF MARKETING IN FOREST SECTOR  Vira Polovska National Forestry University of Ukraine, Lviv, Ukraine  Gradual ecologization of economic activity leads to transition from market to ecological economics in all sectors of national economy. Ukrainian forest sector provides utilization, renewal, protection, and conservation of forest resources to meet the needs of national economy and people in accordance with the concept of sustainable development. Forest sector of the economy has many problems. One of them is low level of innovations, which restrains adoption of modern marketing systems in forest and wood-processing enterprises. Environmental awareness is low, which leads to poor results in economic activities, social and environmental problems in local communities. Analysis of foreign experience reveals that marketing theory should apply in forest sector. Theoretical developments of marketing application in forest sector started in Western European countries in 1970’s. The research focused on the issues of forest products sales and communication policy. In 1980-1990’s marketing application was extended to forest services and environmental protection policy. Marketing on wood-processing enterprises was developing in its traditional form, whereas marketing on forest enterprises was intended to be integrated into all levels of operational management. It was oriented on full satisfaction of consumer needs. Social, environmental and economic crises, globalization, technical progress pushed the ecologization of marketing. Foreign experience indicates that orientation on consumers, society and environment plays the key role in operational activities of forest enterprises. Marketing should be integrated into management and economic activity of Ukrainian forest and wood-working enterprises, as shown in Figure 1.              Figure 1. Integration of environmental marketing in forest sector.  Today only some aspects of environmental marketing are integrated into forest sector. Although integration of conventional marketing into forest sector is taking place, theory of its implementation was not developed yet and only some empirical research was done. Further theoretical research is needed in the field of marketing theory adoption in Ukrainian forest sector, especially in the context of global tendencies of transforming market economy into economy of sustainable development. Currently the main problem on forest products market is low demand in Ukraine and abroad. Lumber is one of the most environmentally friendly raw materials for building industry. Industrial countries show trends of rising demand on products, made from renewable natural resources with small environment footprint, and high level of environmental awareness among consumers. These tendencies should be accounted, since they open a prospective for future growth. To find solutions for environmental, economic and social crises the focus should be on higher levels of wood processing on domestic market, segmentation of forest products market, innovations and strategies development for this products positioning. Environmental marketing is seen as logical extension of classical traditional marketing. Decision on adoption and implementation of environmental marketing on the enterprise should be made after thorough analysis of its business capacities, macro-environment, and possible positive and negative effects. Successful adoption of environmental marketing may lead to surplus in returns in the long-run as a result of production’s ecologization and development of competitive environmental products. Ecologization of marketing on Ukrainian forest and wood-processing enterprises should be done by further developing the concept of environmental marketing. To succeed, businesses in forest sector should implement theory of environmental marketing into practice; adopt modern information systems, advance innovations and improve environmental awareness.   Conventional marketing and marketing-management  Market-oriented environmental management Environmental marketing Marketing and marketing-management in forest sector Forest management Forest sector 

Ecologization of marketing in forest sector

SocioEconomic Challenges Journal (Sumy State University)

ECOLOGIZATION OF MARKETING IN FOREST SECTOR 
 
Vira Polovska 
National Forestry University of Ukraine, Lviv, Ukraine 
 
Gradual ecologization of economic activity leads to transition from market to ecological economics in all sectors 
of national economy. Ukrainian forest sector provides utilization, renewal, protection, and conservation of forest 
resources to meet the needs of national economy and people in accordance with the concept of sustainable development. 
Forest sector of the economy has many problems. One of them is low level of innovations, which restrains 
adoption of modern marketing systems in forest and wood-processing enterprises. Environmental awareness is low, 
which leads to poor results in economic activities, social and environmental problems in local communities. Analysis of 
foreign experience reveals that marketing theory should apply in forest sector. 
Theoretical developments of marketing application in forest sector started in Western European countries in 
1970’s. The research focused on the issues of forest products sales and communication policy. In 1980-1990’s 
marketing application was extended to forest services and environmental protection policy. Marketing on wood-
processing enterprises was developing in its traditional form, whereas marketing on forest enterprises was intended to 
be integrated into all levels of operational management. It was oriented on full satisfaction of consumer needs. 
Social, environmental and economic crises, globalization, technical progress pushed the ecologization of 
marketing. Foreign experience indicates that orientation on consumers, society and environment plays the key role in 
operational activities of forest enterprises. Marketing should be integrated into management and economic activity of 
Ukrainian forest and wood-working enterprises, as shown in Figure 1. 
 
 
 
 
 
 
 
 
 
 
 
 
 
Figure 1. Integration of environmental marketing in forest sector. 
 
Today only some aspects of environmental marketing are integrated into forest sector. Although integration of 
conventional marketing into forest sector is taking place, theory of its implementation was not developed yet and only 
some empirical research was done. Further theoretical research is needed in the field of marketing theory adoption in 
Ukrainian forest sector, especially in the context of global tendencies of transforming market economy into economy of 
sustainable development. 
Currently the main problem on forest products market is low demand in Ukraine and abroad. Lumber is one of 
the most environmentally friendly raw materials for building industry. Industrial countries show trends of rising demand 
on products, made from renewable natural resources with small environment footprint, and high level of environmental 
awareness among consumers. These tendencies should be accounted, since they open a prospective for future growth. 
To find solutions for environmental, economic and social crises the focus should be on higher levels of wood processing 
on domestic market, segmentation of forest products market, innovations and strategies development for this products 
positioning. 
Environmental marketing is seen as logical extension of classical traditional marketing. Decision on adoption and 
implementation of environmental marketing on the enterprise should be made after thorough analysis of its business 
capacities, macro-environment, and possible positive and negative effects. Successful adoption of environmental 
marketing may lead to surplus in returns in the long-run as a result of production’s ecologization and development of 
competitive environmental products. 
Ecologization of marketing on Ukrainian forest and wood-processing enterprises should be done by further 
developing the concept of environmental marketing. To succeed, businesses in forest sector should implement theory of 
environmental marketing into practice; adopt modern information systems, advance innovations and improve 
environmental awareness. 
 
 
Conventional 
marketing and 
marketing-
management 
 
Market-oriented 
environmental 
management 
Environmental 
marketing 
Marketing and 
marketing-
management in 
forest sector 
Forest 
management 
Forest sector 


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Ecologization of marketing in forest sector

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SocioEconomic Challenges Journal (Sumy State University)