We will analyze the effective demand space for each postponed production mode in the first place, and then find out the factors influencing the optimal production quantity of generic product and final products, such as unit customization cost, unit production cost of final product in non-postponed production, the slope ratio of demand function, and ratio of market size. Finally, we prove that if
... [Show full abstract] pricing for certain final products will be always higher, then the non postponed production will be adopted, so the condition to apply postponement is that the market is uncertain to large extent.
