Arab Open University - class work activities no 3 Academic Year 2019 - 2020 Semester: Summer Branch: Bahrain Program: Faculty of Business - Systems Course Title: BUSINESS DYAMICS: SYSTEM THINKING AND MODELLING FOR A COMPLEX Course Code: SYS280 WORLD Student Name: Student ID: Section Number: Tutor Name: Required CHALLENGE Assigning Link Polarities Consider the attractiveness of a product to customers as it depends on various at- tributes of the product (Figure 5-4). Assign link polarities. What feedback loops might be created as product attractiveness changes the demand for the firm's prod- uct? Add these to the diagram, labeling the link and loop polarities. = Quality FIGURE 5-4 The attractiveness of a product as it depends on various attributes Price Product Attractiveness Delivery Delay Functionality CHALLENGE Identifying Link and Loop Polarity Identify and label the polarity of the links and loops in the examples shown in Figure 5-5. FIGURE 5-5 Feedback loop examples Cumulative Production Attractiveness of Market Profits Number of Competitors Priced Market Share Unit costs Price Bank Cash Reserves Pressure to Clean Up Environment Environmental Cleanup Quality Effort Net Withdrawals Perceived Solvency of Bank