Workshop Country Selection Matrix

Nahomy Moreno 1520152069

Camila Duque 1520152064

Economic and Administrative Sciences Faculty

International Business Administration

University of Ibagué

2019
 1. Know the product: Beetle Product As Food

2. Obtain the personalized code / tariff classification

SECCIÓN 1 Animales vivos y

productos del reino
animal.

CAPÍTULO 02 Carne y despojos

comestibles

0208 Las demás carnes y

despojos comestibles,
frescos, refrigerados o
congelados.

3. Identify the market (commercial map or Legiscomex)

· Countries: China, Netherlands, Mexico.

CHINA:
One of the main reasons that Colombia and its companies have for exporting to the Chinese
market, corresponds to the number of inhabitants it currently represents, around 1,357 million
inhabitants as of December 2013 (approximately 25% of the world population), is To say that
this figure exceeds the inhabitants of Central America and South America together, a striking
figure to consider that all these inhabitants have the basic need to arrive at different times of
the day and that the Colombian agricultural sector could meet the food needs of the renowned
Asian giant. ( Legiscomex,s.f)

NETHERLANDS:
The Dutch economy is mainly driven by foreign trade operations, particularly in the high tech
and services industries. About 159% of GDP is represented by these sectors, making the Dutch
economy one of the most open in the world and in turn the most oriented to
trade.(Legiscomex,s.f)

MÉXICO:
There are thousands of insect species in Mexico, and more than 500 are edible. The most
common are beetles: there are up to 30 species that they use as ingredients. Others are a gourmet
food.Some Mexicans eat insects for much more than their nutritional value or taste.

4. Establish the selection criteria:

● Cultural Distance: This criteria is the most important factor for our
company, because we are going to export beetles as food, so culture is a very
decisive factor, it’s more viable to export it to those places where they eat a
variety of animals and insects and where this market is accepted by its
culture.

● Market Size, Logistics Costs, Tax and Tariff Regulations: These are in
second place of importance in our factors. Because to have large market
size, we have more opportunities to be hosted by that country, also the tax
and logistics costs are important since being our first export to that country
we must optimize our economic resources.

● Geographical Distance: This factor is important but not a lot for us, because
the distance between each country generate certain amount of costs and
expenses such as: shipping costs, maintenance costs of the product, wich in
this case is an animal so we need more careful in this item.

5. Obtain the score and weigh the factors (Matrix)

 6.
Identify the target market , potential market and the contingency market

Target Market: China

Potential Market: Netherlands

Contingency Market: Mexico

Because China is our target market:

For more than 628 years with a long tradition and gastronomic culture China appreciates the
taste of an insect not only as an aperitif, but also as one of the Delights of sophisticated cuisine.
In particular, in China you can find different markets, stalls and restaurants that serve insects
in large and small cities, the Donghuamen market and in Beijing, became one of the most
popular. Unlike other countries such as Mexico, which are in fact an important part of the
culinary heritage, it turns out that the bugs were a fundamental part of the diet of the Aztecs,
who fed on dozens of different types of insects and their larvae, grasshoppers and scorpions,
but in the Netherlands there has been greater consumption and acceptance of the product as
indicated by research since they have been working much longer in beetles.

To conclude, we choose China as the best country to export our product because its culture
allows us to reach a wider target market than the other two countries to develop sales of your
product. Although the geographical distance with Mexico is minimal, it is a country where
people are currently not 100% willing to easily implement this type of food for daily mass
consumption.

China is a country that has been reducing its logistics costs, allowing more opportunities to
enter the market with a lower cost in reference to the other two countries where they are higher.

The taxes and tariff regulations of China (13%) are more favorable than those of Colombia
(19%) and Mexico (18%). What benefits the export of the product to China. On the other hand,
despite the fact that the Netherlands has a lower percentage (4.17%), this type of market culture
does not favor the sales of our product in this country.

China is the chosen country, however, we can say that Mexico and the Netherlands are
countries that in the future may be our next destination for exports, as there is currently
awareness of this type of food.
References

https://theluxonomist.es/2016/10/07/te-atreves-a-comer-escarabajos-marinados-insectos-
mexico/the-luxonomist

https://es.portal.santandertrade.com/gestionar-embarques/paises-bajos/tramites-
aduaneros-importacion

http://www.elmundo.es/papel/gastro/2017/12/22/5a3bf34146163f8e648b45dc.html

https://es.slideshare.net/pasante/perfil-logstico-de-exportacin-a-pases-bajos

http://www.capital.com.pe/mundo/que-paises-comen-mas-insectos-en-todo-el-mundo-
noticia-790632

https://www.legiscomex.com/Documentos/porque-exportar-a-china-leonardo-rodriguez-
rendon-ccc-rci291

https://www.legiscomex.com/Documentos/cultura-negocios-holanda-rci311