Eat2Eat Recommendations / Action Plan

Through our critical analysis, we have decided upon the best course of action for Eat2Eat given their current situation. Prior to starting additional promotions to attract more users; however, they would need to address their financial situation. Once Aggarwal has decided on a way to obtain cash, he can invest in new promotional strategies, allocate most of their resources on the most profitable markets, and hopefully expand his business the way he envisioned.

• The best method for Aggarwal to get additional capital would be through venture capitalists’ investment. Even though there are many disadvantages in this option, this is the fastest and the easiest way to get additional capital compare to other options. Since the critical issue is that Aggarwal doesn’t have enough time and budget to expand the business, venture capitalists’ investment will allow Aggarwal to have more time and enough money in making strategic decision to expand the business.

• Aggarwal should definitely continue participating in The Eat! Promotion. It is one of The Asian Wall Street Journal’s most popular features and garners plenty of attention from readers and critics alike. The promotion is an excellent way to get people to learn more about Eat2Eat.com, and will benefit the website in the longer term. As more people are aware of Eat2Eat.com, more restaurants in the target region might become suppliers of Eat2Eat.com. Also, more customers might be interest in using Eat2Eat.com after seeing the promotion; therefore, this can improve Eat2Eat.com’s profitability.

• For cities that are performing poorly, such as Bangkok or Taipei with less than 500 new customer registrations in five years combined, Aggarwal should consider paying less attention. In contrast, Aggarwal should allocate most of their resources on cities currently performing well to become more profitable in these locations. These include Hong Kong, Kuala Lumpur, and Singapore. This would reduce the amount of traveling...