Forest certification and institutional governance: An empirical study of forest stewardship council certificate holders in the United States

Forest certification is a new policy mechanism for environmental governance; however, academic perspectives differ about what benefits forest certification offers to landholders and policy makers. In this research, we identify using analytical techniques three literature-based views of certification: as a market-based mechanism that performs by providing market advantage, as a teaming mechanism that transfers knowledge and as an assurance mechanism or signal of hard-to-observe or predict organizational characteristics and practices. Empirically, those with first-hand experience with certification, i.e., forest management certificate holders, report that certification does not operate as a market-based mechanism, nor do they have high expectations or satisfaction with certification as a teaming mechanism; certified landowners are most satisfied with certification as an assurance system or signal of risk sensitivity and strategy. We consider the implications for the social construction of markets. (c) 2005 Elsevier B.V. All rights reserved.