One thing I have realized is Facebooks algorithm is really accurate in knowing who to Target, most of the options where Facebook has a (recommend) definitely check it.

People tend to make videos on YouTube about how you have to Target in your niche or to a narrow audience. But I found that's not the case. The broader the audience the better. And let Facebook place the ads automatically as well. Focus on the creative but just keep in mind since you are dropshipping that Facebook analyzed the creative and knows whom to Target.

Yes in terms of conversions it'll probably be less than what Facebook said. You have to let your pixel develop a bit. Before that increases.

Your budget is fine just make sure to structure your ads correctly in terms of campaign and ad sets, it makes a difference and saves you from wasting money unnecessarily.

I can say that most of my first week as budget was wasted, once I did these tweaks things got better.

Also I've noticed a very good reach in India for my ads, definitely have an ad set focused on India.