What's your oil:fuel ratio? If your running the suggested 16:1 that's waaaaay too much oil. I can see using that ratio with the crap-based oil elsewhere in the world, not many countries have the same oil standards that we and other advanced countries have. 24:1 for the break-in period then 32-40:1 with a good synthetic. Find an oil brand you can get all the time, it's generally considered not good to change oils. The big oil companies all have a synthetic 2 stroke oil so that's not a real problem. Heck, if the large department stores in your area have a chainsaw section, like Fred Meyers does, then you can get Poulan, Husqvarna, Stil and other chainsaw motor oil. Look at the lable for an oil thats formulated for air-cooled motors. They run hotter than water-cooled motors and need a different formulation. That's why I suggest chainsaw oil, if you can get the same stuff all the time.
For a broke-in motor some here are using OPTI 100 which is mixed at up to 100:1, a little thin for this old racer. I ran Super Kart and the saying was if you didn't leave at least a thin stream of smoke there wasn't enough oil in your mix.
Adding to this, junk the stock plug. God only knows the heat range on that thing in reality. Cold weather I use a B5HS, hot a B6HS NGK plug. Do not get a BP5HS or BP6HS NGK plug. Sometimes the extended tip plugs can be closed by contact with the piston.