We study mass customization in a duopoly game in which the firms' products have different qualities. Whether … customization choices are made simultaneously or sequentially is endogenously determined. Specifically, the customization stage of … 2. We show that customization by one or both firms occurs only if the quality difference is sufficiently large …

most preferred variety and a quality valuation. Customization provides ideal varieties but has no effect on product … equilibrium either both firms customize, only the higher quality firm customizes, or no firm customizes. Even if customization is … the total welfare changes with the fixed cost of customization. Interestingly, the relationship is not always monotonic …

most preferred variety and a quality valuation. Customization provides ideal varieties but has no effect on product … equilibrium either both firms customize, only the higher quality firm customizes, or no firm customizes. Even if customization is … the total welfare changes with the fixed cost of customization. Interestingly, the relationship is not always monotonic …

quality. Each consumer has a most preferred variety and a quality valuation. Customization provides ideal varieties for … price competition. For the customization stage we consider two different games: the simultaneous-move game and the … endogenous-timing game. In the latter, whether customization choices are made simultaneously or sequentially is endogenously …

We study customization in a duopoly game in which the firms' products have different qualities. Whether customization … choices are made simultaneously or sequentially is endogenously determined. Specifically, the customization stage of the game … that both quality and endogenous timing play important roles in determining the equilibrium outcome. Customization occurs …

Earlier theoretical literature on mass customization maintains that customization reduces product differentiation and … intensifies price competition. In contrast, operations management studies argue that customization serves primarily to … interested in customization. Consumer benefits from customization are the rewards from a special shopping experience and the …

This paper challenges the assumption commonly used in the theoretical literature on customization that consumers always … variety interval. Suppose one of the firms offers customization. Consumers familiar with the brand can easily transfer their …. First, the firms simultaneously decide whether to offer customization, then engage in price competition. I show that while …