Chapter 02
Strategic Leadership: Managing the Strategy Process
Multiple Choice Questions
1. The Chief Executive Officer (CEO) of Yahoo, Marissa Mayer, maintains that if a
company builds the best product possible, profits will come. Identify the phrase that
represents the new vision she developed for Yahoo.
A. to achieve human sustainability while having fun
doing it
B. to provide a high-quality product that has environmental
sustainability
C. to appeal to the whole person at work and
at home
D. to make the world's daily habits more inspiring and
entertaining
2. The Chief Executive Officer (CEO) of Yahoo, Marissa Mayer, established a mission by
building on her vision. Considering this, how did Mayer implement the mission of
Yahoo?
A. by making the user experience of the mobile Internet
easy and fun
B. by convincing employees to work with a
purpose
C. by making the mobile Internet an efficient tool for
researchers
D. by convincing employees to make the product more
accessible
3. The first step in the strategic management process is to
A. define a firm's vision, mission, and
values.
B. understand the strategies of the
competitors.
C. put the guiding policies of a firm into
practice.
D. develop functional and business-level
strategies.
,4. Strategic leadership pertains to the use of power and influence by _____ to direct the
activities of others when pursuing an organization's goals.
A. production
workers
B. lower-level
managers
C. external
stakeholders
D. corporate
executives
5. Free Winds, Inc. is a company that manufactures a variety of generators that run on
wind power. The company wants to ensure that wind technology replaces all forms of
exhaustible energy sources in the near future. Which of the following statements will
make an accurate vision for Free Winds?
A. We make products that run on wind
energy.
B. All nations around the globe should have access to a sustainable
energy source.
C. The company aims to make working fun and pleasurable for its
employees.
D. We provide energy-efficient sources and services by investing in research and
innovation.
6. True Help is a nonprofit organization that works toward rehabilitating the homeless.
The credo of the organization is "help us help you." For an organization like True Help,
which of the following statements would make an appropriate mission?
A. Help us help you find a
home.
B. One day, everyone in this nation will have a home to protect
themselves.
C. We help the homeless gain and sustain financial independence by providing
employment opportunities.
D. Our mission is to turn this not-for-profit organization into a for-profit organization so
that the stakeholders are benefited.
7. Strategic commitments are actions that are
A. inexpensiv
e.
B. long-term
oriented.
C. easy to
reverse.
D. easy to
imitate.
,8. Visionary companies are able to outperform their competitors because
A. their vision statements are more product-
oriented.
B. they provide more aspirational
visions.
C. their visions are exclusively
financial.
D. they isolate internal stakeholders in defining their
visions.
9. To be effective, firms need to
A. back up their visions with strategic commitments that are costly and
difficult to reverse.
B. increase their strategic flexibility by developing product-oriented vision
statements.
C. isolate top managers from the organizational
values.
D. pursue visions that are exclusively financial and not
aspirational.
10. What is the strategic management process?
A. The CEO decides who the product managers will be for a
company.
B. The CEO defines the main problems facing a
company.
C. Strategic leaders design a method to formulate and implement
strategy.
D. Strategic leaders focus on creating a vision that reflects the
company's strategy.
11. What is strategic leadership?
A. the ability to delegate authority to create an effective strategic
management process
B. the executives' use of power and influence to direct the activities of others when
pursuing an organization's goals
C. the ability to inspire managers and other employees to create the best
product possible
D. the executives' use of power and influence to inspire workers to take responsibility
for the final product
, 12. Strategic commitments are actions that are
A. inexpensive, long-term oriented, and difficult to
reverse.
B. inexpensive, short-term oriented, and easy to
reverse.
C. costly, long-term oriented, and difficult to
reverse.
D. costly, short-term oriented, and easy to
reverse.
13. Which of the following examples reflects the strongest vision?
A. At Fuentes Electronics, many employees get paid well but do not feel their work
is important.
B. At Fuentes Electronics, all employees are motivated to make the best microwave
ovens on the market.
C. At Fuentes Electronics, most employees want to create a better microwave oven
than their closest competitor.
D. At Fuentes Electronics, some employees do not understand the main goal of
the company.
14. Which of the following summarizes the difference between a firm's vision and
mission?
A. A vision states what a firm wants to accomplish; a mission states how a firm plans
to accomplish this vision.
B. A vision states the ethical values of a firm; a mission states the monetary
goals of a firm.
C. A vision states how much a firm wants to earn; a mission states how these
earnings will be accomplished.
D. A vision states the management values of a firm; a mission states the values of the
other workers.
15. Which of the following is an example of a product-oriented vision statement?
A. Andrea, Ltd. wants to adapt their picture frames to the changing demands of
consumers.
B. Andrea, Ltd. wants to always satisfy the consumers who purchase
picture frames.
C. Andrea, Ltd. wants to provide the best benefits for employees in the picture-
frame industry.
D. Andrea, Ltd. wants to be the best manufacturer of picture frames in
the industry.
Strategic Leadership: Managing the Strategy Process
Multiple Choice Questions
1. The Chief Executive Officer (CEO) of Yahoo, Marissa Mayer, maintains that if a
company builds the best product possible, profits will come. Identify the phrase that
represents the new vision she developed for Yahoo.
A. to achieve human sustainability while having fun
doing it
B. to provide a high-quality product that has environmental
sustainability
C. to appeal to the whole person at work and
at home
D. to make the world's daily habits more inspiring and
entertaining
2. The Chief Executive Officer (CEO) of Yahoo, Marissa Mayer, established a mission by
building on her vision. Considering this, how did Mayer implement the mission of
Yahoo?
A. by making the user experience of the mobile Internet
easy and fun
B. by convincing employees to work with a
purpose
C. by making the mobile Internet an efficient tool for
researchers
D. by convincing employees to make the product more
accessible
3. The first step in the strategic management process is to
A. define a firm's vision, mission, and
values.
B. understand the strategies of the
competitors.
C. put the guiding policies of a firm into
practice.
D. develop functional and business-level
strategies.
,4. Strategic leadership pertains to the use of power and influence by _____ to direct the
activities of others when pursuing an organization's goals.
A. production
workers
B. lower-level
managers
C. external
stakeholders
D. corporate
executives
5. Free Winds, Inc. is a company that manufactures a variety of generators that run on
wind power. The company wants to ensure that wind technology replaces all forms of
exhaustible energy sources in the near future. Which of the following statements will
make an accurate vision for Free Winds?
A. We make products that run on wind
energy.
B. All nations around the globe should have access to a sustainable
energy source.
C. The company aims to make working fun and pleasurable for its
employees.
D. We provide energy-efficient sources and services by investing in research and
innovation.
6. True Help is a nonprofit organization that works toward rehabilitating the homeless.
The credo of the organization is "help us help you." For an organization like True Help,
which of the following statements would make an appropriate mission?
A. Help us help you find a
home.
B. One day, everyone in this nation will have a home to protect
themselves.
C. We help the homeless gain and sustain financial independence by providing
employment opportunities.
D. Our mission is to turn this not-for-profit organization into a for-profit organization so
that the stakeholders are benefited.
7. Strategic commitments are actions that are
A. inexpensiv
e.
B. long-term
oriented.
C. easy to
reverse.
D. easy to
imitate.
,8. Visionary companies are able to outperform their competitors because
A. their vision statements are more product-
oriented.
B. they provide more aspirational
visions.
C. their visions are exclusively
financial.
D. they isolate internal stakeholders in defining their
visions.
9. To be effective, firms need to
A. back up their visions with strategic commitments that are costly and
difficult to reverse.
B. increase their strategic flexibility by developing product-oriented vision
statements.
C. isolate top managers from the organizational
values.
D. pursue visions that are exclusively financial and not
aspirational.
10. What is the strategic management process?
A. The CEO decides who the product managers will be for a
company.
B. The CEO defines the main problems facing a
company.
C. Strategic leaders design a method to formulate and implement
strategy.
D. Strategic leaders focus on creating a vision that reflects the
company's strategy.
11. What is strategic leadership?
A. the ability to delegate authority to create an effective strategic
management process
B. the executives' use of power and influence to direct the activities of others when
pursuing an organization's goals
C. the ability to inspire managers and other employees to create the best
product possible
D. the executives' use of power and influence to inspire workers to take responsibility
for the final product
, 12. Strategic commitments are actions that are
A. inexpensive, long-term oriented, and difficult to
reverse.
B. inexpensive, short-term oriented, and easy to
reverse.
C. costly, long-term oriented, and difficult to
reverse.
D. costly, short-term oriented, and easy to
reverse.
13. Which of the following examples reflects the strongest vision?
A. At Fuentes Electronics, many employees get paid well but do not feel their work
is important.
B. At Fuentes Electronics, all employees are motivated to make the best microwave
ovens on the market.
C. At Fuentes Electronics, most employees want to create a better microwave oven
than their closest competitor.
D. At Fuentes Electronics, some employees do not understand the main goal of
the company.
14. Which of the following summarizes the difference between a firm's vision and
mission?
A. A vision states what a firm wants to accomplish; a mission states how a firm plans
to accomplish this vision.
B. A vision states the ethical values of a firm; a mission states the monetary
goals of a firm.
C. A vision states how much a firm wants to earn; a mission states how these
earnings will be accomplished.
D. A vision states the management values of a firm; a mission states the values of the
other workers.
15. Which of the following is an example of a product-oriented vision statement?
A. Andrea, Ltd. wants to adapt their picture frames to the changing demands of
consumers.
B. Andrea, Ltd. wants to always satisfy the consumers who purchase
picture frames.
C. Andrea, Ltd. wants to provide the best benefits for employees in the picture-
frame industry.
D. Andrea, Ltd. wants to be the best manufacturer of picture frames in
the industry.
