Mass customization (MC) emerged as a new paradigm that shifted from mass production. It achieves both volume and cost efficiency of mass production and customization capabilities at the same time. The challenge for manufacturing managers is to find ways to cope with the
market and increase product variety through MC without affecting lead-time, cost or quality. Based on the previous literature review, a conceptual summary of MC is discussed. According to the conceptual summary, a model is built to discuss how each of the elements associated with MC contributes to improved firm performance. It further proposed that the market segment favorableness influences the relationship between MC and firm performance.