The Impact Of Customization Degree On Profit Of Online Apparel Retailer

Li keqiang,the prime minister,report in 2016 government work of the "made in China 2025".In this paper,it encourage enterprises to carry out the personalization,flexible production,cultivating strives for perfection the spirit of craftsman in increasing variety,quality,creates the brand.So,I think the combination of the mass customization + Internet would significantly enhance the quality and efficiency of the enterprise,meeting the growing consumer demand.With the popularity of the Internet,in the road of reform of mass production to online mass customization,the enterprise will be faced with many problems,including the production cost of custom products,returns,costs and profits.These key issues need to be focused by us.Otherwise,thanks to the development of the Internet,online apparel retailer,especially the wedding dress's online customization is rapidly developing in recent years,in China.So in this paper,we analysis the influence of product customization degree to production costs,returns,costs and profits.In this paper,we chose an online wedding dress retailer's trade data,for example.We make the variables of customization degree,delivery,production cost,return cost et al,for analysis the mechanism of them.In the end,we found that the customization degree has a significant positive impact on the production cost;The customization degree also has a significant positive impact on the return cost.So,according to transaction cost theory,cost and profit are negatively correlated.Therefore,we deduce customization degree has a significant negative correlation to the profit.Currently,there are a lot of remarkable achievements on custom field,but lot of for the custom return problem,the production cost and profit.So,firstly,this study enrich the field of custom research.Secondly,it can help online apparel retailer to better development.