Question: OpenTable com Inc with more than 13 000 participating restaurants is the
OpenTable.com Inc., with more than 13,000 participating restaurants, is the market leader in online restaurant reservations service providers. Restaurants pay a monthly fee as well as $1.00 per head for reservations made by diners throughOpenTable.com. But Open Table also charges 25 cents per head even if diners make reservations through the restaurants’ own Web sites. By making reservations through Open Table, diners also earn points that can be redeemed for discount coupons. But there may be a problem with this seemingly straightforward deal between Open Table and restaurants using its services. Some diners claim that if they make their reservations through Open Table, the restaurants retaliate for the extra cost involved by seating diners at inferior table locations and by providing poor service. Open Table denies this. Why would restaurants unhappy with the deal being offered to them by Open Table take out their frustration on diners? Discuss.
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