Offering a variety of products is important for a firm to attract different consumer segments. However, high product variety increases production and distribution costs. Modular product design and parts commonality are approaches used to counter this trend in cost and still offer a variety of...

The predominant perception on commonality strategy in product line design is that it entails a trade-off decision for a firm between cost savings and product differentiation. Adopting the commonality strategy may lower a firm's manufacturing costs, but it blurs the distinction between products...