Export Plan for Olive Oil in Mediterranean Countries

Running head: EXPORT PLAN 1
Export Plan
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EXPORT PLAN 2
Introduction
Statistically, international trade accounts for 13% of America’s economic activities.
Areas like Las Vegas and Detroit have experienced multiple consecutive years of economic
growth and this can be attributed primarily to the expansion of exports (Piercy, 2014). Looking
at California’s Central Valley, it can be described as America’s agricultural hub as it produces
more than 360 products. Over 13 fruits, vegetables and nuts such as clingstone peaches, walnuts,
olives, and sweet rice are produced in California (Morgan, Katsikeas & Vorhies, 2012). On the
same note, California is regarded as the country’s biggest dairy producer accounting for 1/5th of
America’s dairy.
Products for Export Development and Modifications
The product that has been selected for this market plan is the olive, which is greatly
produced in California’s Central Valley. Notably, California is responsible for 95% of all the
olives produced in America (Nemkova, Souchon, Hughes & Micevski, 2015). To make the
product adapt to the overseas market, it will be modified to olive oil which is associated with
multiple functions including soap making, medicinal purposes, religious rituals, body care, and
fuel in lamps. Having noted that the product is essential for all the aforementioned purposes, it
will be much easier to sell the products in the new markets.
Export License
Prior to determining whether or not the product in question needs an export license, it is
essential to comprehend the components of an export. In reference to the United States export
regulations, an export is anything moved from the country to a foreign place, individual or

EXPORT PLAN 3
organization. Bureau of Industry and Security (BIS) is tasked with the role of implementing and
enforcing the Export Administration Regulations (EAR) (Saraswati, 2013). Notably, only those
items that are listed in the Commerce Control List (CCL) require export licenses. In this case.
Olive oil is not on the list, and therefore, the export license is not needed.
Targeted Countries for Sales Development
Olive oil market appears complex as it extends in the developing and developed
countries. The market is recognized through various production systems and it is traded globally.
Therefore, the targeted countries for sales development of olive oil are the Mediterranean
countries. These countries include Algeria, France, Egypt, Greece, Syria, Slovenia, Spain, Libya,
Morocco, Turkey, Tunisia, Malta, Lebanon, Israel, Albania, and Bosnia (Hajkowicz, Cook &
Littleboy, 2012). The consumption of olive oil is developing in the Mediterranean countries,
however, it differs with patterns based on quality and quantity. Market segmentation matters as
product qualities play great roles in consumption decisions within the countries.
Customer Profiles, Marketing, and Distribution Channels
The basic customer profiles in the Mediterranean countries depends on the demographic
size as well as per capita income. For instance, consumption in Spain, Greece, and Italy is
targeted for elder individuals who have ample knowledge concerning olive oil. In addition, in
countries such as France and Italy, olive oil is mostly consumed by persons between 13-14
individuals and especially rich families who can cope with the expenses of purchasing the
products. Moreover, the traditional consumers especially females indicates high consumption
rates as they are aware of qualities and benefits of olive oil such as beauty and medicinal