There should be a general roundup of Hamas leadership during this time, including those Hamas who have been elected to office.
No known Hamas member should be left at liberty by the time they finish.
Hamas has declared itself at war with Israel many times, and even yet has not disavowed war. And then there is the "missile attack" thing to consider. Missile attacks usually are shorthand for "act of war".
They should go through Gaza street by street engaging any and all who come out to play, while rounding up known members.
If the hostages are not returned alive, the fence should be moved forward a kilometer for each death, and the area left outside the new fence should be bulldozed clean and its former inhabitants pushed across the fence.
Good plan, good ideas. I agree.
You left out the part about de facto military invasion that resulted in two deaths and a capture. It wasa blatent act of war.