• DocumentCode
    739084
  • Title

    Integrated Product and Channel Decision in Mass Customization

  • Author

    Xiao-Feng Shao

  • Author_Institution
    Coll. of Econ. & Manage., Shanghai Jiao Tong Univ., Shanghai, China
  • Volume
    60
  • Issue
    1
  • fYear
    2013
  • Firstpage
    30
  • Lastpage
    45
  • Abstract
    This paper explores the effectiveness of mass customization strategies in a manufacturing firm. The manufacturing firm produces standard products in a flexible factory where mass customization is technologically feasible. We integrate product strategy and channel design to explore whether the firm should adopt mass customization and how the distribution channel should be configured for custom products. We find that the mixed mass customization strategy dominates the pure standard product strategy in the centralized system. For the decentralized system, we identify the parameters that would impact superiority of each product strategy. We further discuss two channel structures for mass customization: single-channel strategy and dual-channel strategy, and find that the dual-channel strategy is always superior to the single-channel strategy when mixed mass customization is adopted.
  • Keywords
    flexible manufacturing systems; manufacturing industries; mass production; parameter estimation; product customisation; product design; channel design; custom products; decentralized system; dual-channel strategy; flexible factory; integrated product-channel decision; manufacturing firm; mixed mass customization strategy; parameter identification; product strategy; single-channel strategy; Companies; Marketing and sales; Mass customization; Standards; Supply chains; Channel structure; flexible capacity; mixed mass customization; pure standard product strategy;
  • fLanguage
    English
  • Journal_Title
    Engineering Management, IEEE Transactions on
  • Publisher
    ieee
  • ISSN
    0018-9391
  • Type

    jour

  • DOI
    10.1109/TEM.2012.2205694
  • Filename
    6243201