An analysis of stumpage sales practice in state forest enterprises by structural equation modeling

This study modeled and analyzed the perceptions and attitudes of various stakeholders towards Sales of Standing Timber (stumpage sales, DASU) which has been focused on by General Directorate of Forestry (GDF) in order to conduct the sales of wood raw material in a more rational way in Turkey. Analyses in this study are conducted essentially through Structural Equation Modelling (SEM). Perceptions and attitudes of four stakeholder groups, namely, GDF, forest village development cooperatives (ORKOOP), forest villagers and the forest products companies, towards DASU were modeled by technical, economic, social, legal, administrative and environmental dimensions. First, perceptions and attitudes of four stakeholder groups were tested via confirmatory factor analysis (CFA). Then, structural models of DASU-Perception and DASU-Attitude for each stakeholder group as well as for whole groups collectively were constructed. Inter-group differences were analyzed using MIMIC (Multiple Indicator - Multiple Cause) models. Also, relationships between DASU-Perception and DASU-Attitude for each stakeholder group as well as for all groups collectively were modeled. Moreover, subjects on which stakeholder groups agreed or disagreed were examined. Results of the DASU-Perception models confirmed that the primary stakeholder groups have negative perception of technical, social and administrative aspects of the DASU. According to DASU-Attitude models, DASU needs to be reorganized with a participatory approach. In light of the results, suggestions on the improvement of DASU were presented, which may serve to provide decision-makers and interest groups with tangible information and policy options as regards DASU.