Experiments were performed on a bistable system consisting of a low finesse cavity and sodium atoms as the nonlinear medium. The atoms were excited by a dye laser system tuned to the D lines. Both ring and Fabry-Perot configurations were employed, and steady-state as well as transient behaviour was investigated. Flat mirrors of approximately 93% reflectivity were used in all experiments. With sodium vapour as the medium, experiments were performed in steady state, and a marked difference was observed in the behaviour of the Fabry-Perot cavity as compared to the ring set-up. This discrepancy could be explained when the sodium transition was modelled as a three - level lambda -type system, where the Doppler width is of the same order of magnitude as the ground state splitting. In this case the atoms with a Doppler shift close to half the ground state splitting have a major influence on the macroscopic refractive index. Extensive computer simulations were performed using this three -level model, and good qualitative agreement between experiment and theory was obtained for both types of cavity. A vacuum system containing a multiple atomic beam apparatus was constructed in order to reduce the Doppler width. Both the ring and the Fabry-Perot configuration could be set up inside the vacuum chamber.. The steady-state experiments displayed bistability when the laser intensity, laser frequency or cavity frequency were cycled. At higher atomic densities the system showed instabilities and multiple switching.