Two gasoline stations engaging in a price war resulting in lowering theirs prices until both are unprofitable is a classic example of which of the following common system archetypes?
A)Escalation
B)Shifting the Burden
C)Eroding Goals
D)Limits to Growth

Question

Quizplus · Accepted Answer

Escalation is a system archetype where two or more parties continually react to each other, often competitively, leading to a situation that becomes increasingly worse for all involved. In the case of two gasoline stations lowering prices in a price war, each reacts to the other's price cuts in an escalating manner, ultimately leading to unprofitable outcomes for both.

Two Gasoline Stations Engaging in a Price War Resulting in Lowering