Can the SME Successfully Adopt Mass Customization?

The mass customization (MC) literature has, so far, primarily focused on how large enterprises successfully can achieve mass customization, neglecting the small and medium-sized enterprise (SME). Since SMEs constitute a major part of the global economy, this paper has the purpose to examine whether differences between large enterprises and SMEs influence the appropriateness of MC and manner in which SMEs can implement MC. Based on data from a large international survey, it concludes that the large enterprise and SME largely experience the same environmental conditions, and therefore asserts that both types of firms could utilize MC to attain a competitive edge in their environments and cope with fluctuations. It also finds that SMEs have persistently implemented MC-enabling practices to a lower degree when compared to large enterprises. Given their limited resources, this finding implies that SMEs have to choose among an excess of practices if they want to pursue MC. This paper suggest three potential starting points, that is, SMEs could start their MC journey with the standardization of the product portfolio, with the investment in and assimilation of advanced manufacturing technologies or through the creation of an organization geared towards continuous improvement.