This paper intends to present an export planning for a hypothetical business. The feasibility of the plan has been evaluated from both the marketing and financial perspective. The regulations of USA for export business has been discussed in the paper.
The purpose of the document is to prepare an export plan for XYZ trading company. The location of the company will be in Ohio. The company will import products from China as cheap labour is easily available there. After the products are produced in China, they will be exported to XYZ Ltd within a time period as mentioned by the company. The company, after receiving the products, will apply top class packaging and labelling and export them to India. The company’s aim is to establish itself as the leader in sales of sunglasses as well as earn a strong foothold in the market in long run. The export plan will cover summary of the subject that will include details about the product, target country, social differences, customer types, export and import regulations, safety regulations, cost assumption, export price, terms of sales, landed cost, local pricing policy, format, question and citation. Therefore, these aspects will be covered under the plan.
The product category, that is chosen, is a range of sunglasses (“Product description”). The product supplier will be China as it produces goods at cheapest possible price. The suppliers selected for this purpose are ready to manufacture the product and timely deliver them as per the contract. They have a good collection of designs, already prepared by their designers, which acts as an advantage. The aviators are given an absolutely new look and hues by these designers. There is also a new line of unique shades of mirrored aviators. The tea shades and shutter shades are shaped in a new form and design. The oversized glasses are designed to have a revivified look. In totality, the product range is quite refreshing and a welcomed change from the old formulated designs. They are impressive and notable. The concerned products will be exported to India, where there is a prodigious appeal for sunglasses, considering the hot and humid climate (“Make Up + Face”). Every other person in India, especially those residing in urban areas, are interested to purchase sunglasses and wear it whenever they move out of their home; so as to avoid excessive heat of the sun. Sunglasses are a source of relief for nearly all the people in India, regardless of age groups. Hence, exporting the products in India will be an assured way to success, as per the research made on the country.
Target market and profile of the country
The target market is India as the product experiences a huge demand in this market. The population of India is 1.27 billion, which is a positive indication for high sales volume. Although most Indians claim their national language to be Hindi, yet, in reality, their de-facto language is English. India’s GDP per capita is 4.9% (“Trade”). India imports a lot of products ranging from apparels to minerals, metals and agricultural products from other countries. India’s currency is rupees (Rs.) and there is lack of stability in Indian currency. Currently, as per the exchange rate in India, 1 USD is equivalent to 62.36 of Indian rupee.