Chamdo dining presents two basic options: Tibetan or Chinese. Tibetan restaurants are, on the whole, less than Chinese and located mostly in the eastern part of town.
For a cheap pseudo-alternative, check out the rather frighteningly named Friendship Happy Good Food City; it's the closest thing you'll find to American fast food. The produce market in town (not open in the evenings) is a good place for fresh fruit and vegetables, with street food vendors selling dirt-cheap yet tasty fare.