This ranking system is ridiculous. It’s may be the first sport to “penalize” the losing finalist, semi finalists & quarterfinalists of a big tournament.
Not only China losing points after losing the final, teams like Germany & Japan fought hard to earn their spots in the final 8, flew all the way to the US, expectedly losing to the top seeds, got nothing rewarded for reaching the QF but instead resulted in losing points because of losing the match. Their hard work over the 3 whole weeks for reaching the Final 8 meant nothing in this ranking system. Teams that didn’t qualify for the final 8 were even “benefited” on the other hand, because they wouldn’t lose any further point and their gap with Germany and Japan became closer after the QF.
Of course it is risky for underdogs to go to such finals but generally they don't loose much points if the difference between them and favourite team. And they could benefit a lot pointwise if they manage to win against those teams. In previous system, if an underdog makes a surprise win a favourite team in a preliminary group stage, there won't be much impact but current system rewarding teams for their succesful games, every single one of them. And again, if they lose again a heavy favorite they won't loose much points anyways
Only tweak I would have done to the current ranking system would be that bonus points should be given to teams qualify to quarterfinals, semis and finals. So that they can still benefit from reaching further in the tournaments