Company: ZCARW
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076590
Chunk: 263

Company: Zoomcar Holdings, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 2
Chunk 263
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 expect, or that any of these new developments will gain sufficient
traction or market acceptance to generate enough revenue to offset any new expenses or liabilities associated with these new investments.
Our development efforts with respect to new features, functions and technologies on our platform could distract management from current
operations and will divert capital and other resources from our more established functions and technologies. Even if we are successful
in developing new features, functions, or technologies, or otherwise update or upgrade our platform, regulatory authorities may subject
us to new rules or restrictions in response to our innovations that could increase our expenses or prevent us from successfully commercializing
the new features, functions, technologies, updates, or upgrades of our platform. If we are unable to adapt in a cost-effective and timely
manner in response to the changing market conditions or platform users’ preferences, either for technical, legal, financial, or
other reasons, our business, financial condition, and results of operations may be materially and adversely affected.

Our success depends upon our ability to maintain favorable customer
reviews and ratings, and if our reputation suffers, our business, financial condition and operating results may be adversely affected. 

We have a customized rating
and review system connected to our search-and-ranking-base algorithm in order to provide a more holistic, more relevant overall search
experience for the Guests. By combining Host ratings and reviews into the overall sort algorithm, our platform is able to highlight particular
Hosts who are more likely to receive bookings. The reliable and trustworthy ratings and reviews of our Hosts and Guests are crucial to
our business, which will to a substantial extent affect our Hosts and Guests’ determination as to whether to utilize the platform
to book cars.

79

Monitor the rating and review
system on an ongoing basis to enforce quality standards and build trust among members of our community. We have procedures in place to
combat fraud or abuse of our rating and review system, but there is no assurance that these procedures are or will be effective, or at
all. Further, Hosts and Guests can leave reviews or ratings on third-party platforms or websites, which are out of our control and off
platform reviews and ratings or other statements about the platform, or a business or brand may have adverse impact on our business operations.
If any Hosts and Guests leave negative ratings and reviews, it may not only cause a decrease in the number of existing Hosts and Guests
but also may negatively affect acquisitions of new Hosts and Guests, which may adversely affect our business, financial conditions and