Why It Matters
Companies that provide made to order (MTO) create competitive advantages by providing what other companies cannot -- custom-made products. However, the made-to-order approach costs much more because companies must retool, redesign or restart production processes for each order. This in turn often means that customers pay much more. This creates a competitive disadvantage, though this is easily overcome if the companies in the sector are competing on features rather than price.
Source: Investing Answers
