Question 1

An organization's external environment presents strengths and weaknesses, while it internal environment presents opportunities and threats.

Accepted Answer

The statement is incorrect. An organization's external environment presents opportunities and threats, while its internal environment presents strengths and weaknesses. This is known as the SWOT analysis.

Question 2

The effectiveness of an organization's strategies is influenced by the degree of alignment between the organization's internal capabilities, resources, and its environmental opportunities.

Accepted Answer

This statement is true as a good fit between an organization's internal strength and the external opportunities in its environment is a key factor in determining the success of its strategies.

Question 3

A basic distinction between strategic leadership and strategic management is that strategic management envisions where the organization would like to be in five to ten years while strategic leadership focuses on how to achieve the vision.

Accepted Answer

False

Question 4

A strategic vision is a view of the future that is readily attainable.

Accepted Answer

A strategic vision is a view of the future that is desirable and inspiring, but may not be readily attainable without significant effort and planning.

Question 5

Strategic leadership is a person's ability to anticipate, envision, maintain flexibility, think strategically, and work with others to initiate changes that will create a viable future for the organization.

Accepted Answer

The statement accurately describes the concept of strategic leadership.

Question 6

Vision creation should be top management's responsibility.

Accepted Answer

The answer of Vision creation should be top management's responsibility....

Question 7

Strategic leadership must involve managers at the top, middle, and lower levels of the organization.

Accepted Answer

Strategic leadership involves managers at all levels of the organization as they contribute to the formulation and implementation of the organization's strategy. Top-level managers set the overall direction, middle-level managers ensure alignment with the overall goals, and lower-level managers execute the strategy in their specific areas of responsibility.

Question 8

Strategic leadership is the set of decisions and actions used to formulate and implement specific strategies that will achieve a competitively superior fit between the organization and its environment, so as to achieve organizational goals.

Accepted Answer

This is not the definition of the strategic leadership.

Question 9

Environmental scanning is the first step in the strategic management process.

Accepted Answer

It is the first task in the strategy formulation step.

Question 10

Examples of the "S" in SWOT analysis are brand name, reputation, and patents.

Accepted Answer

The "S" in SWOT analysis stands for strengths and examples of strengths that can be analyzed include brand name, reputation, and patents.

Question 11

The underlying tenet of strategic management is that organizations need to formulate strategies to take advantage of external opportunities and to avoid or reduce the negative impact of external threats.

Accepted Answer

This statement is true. Strategic management involves analyzing and responding to external factors such as competition, technology, and market trends, in order to maximize opportunities and mitigate threats.

Question 12

The loss of market focus is a leading cause of business failures.

Accepted Answer

Businesses that lose sight of their target market and fail to adapt to changing customer needs are more likely to struggle and fail in the long run. It is critical for businesses to stay focused on their customers and continue to innovate in order to stay competitive.

Question 13

As the business environment becomes increasingly complex, the demand for environmental decreases.

Accepted Answer

As the business environment becomes increasingly complex, the demand for environmental expertise and solutions actually increases. Organizations are under greater pressure to consider the impact of their operations on the environment and to pursue sustainable practices.

Question 14

Executive intuition is the instinctive ability to identify weak signals in the environment and respond without the benefit of concrete facts and information.

Accepted Answer

Executive intuition is often referred to as a "gut feeling" and involves the ability to trust one's instincts and respond quickly to ambiguous or uncertain situations. It requires the ability to pick up on subtleties and often involves years of experience in a particular industry or field.

Question 15

The combined analysis of the external environment and internal environment is commonly referred to as SWOT analysis.

Accepted Answer

SWOT analysis stands for Strengths, Weaknesses, Opportunities, and Threats analysis. It analyzes both the external environment (opportunities and threats) and internal environment (strengths and weaknesses) of an organization.

Question 16

A vision statement specifies an organization's present purpose.

Accepted Answer

A vision statement specifies an organization's future direction and goals, not its present purpose.

Question 17

The first step in the strategic management process is strategy formulation.

Accepted Answer

Strategy Formulation is not the first step.

Question 18

The vision statement answers the question, "What is the organization's purpose?"

Accepted Answer

The answer of The vision statement answers the question, "What...

Question 19

A strategic leader should concentrate decision-making power at the executive level rather than spread it throughout the organization.

Accepted Answer

The answer of A strategic leader should concentrate decision-making power...

Question 20

Leaders who rely too much on rational analysis to the exclusion of intuition tend to experience strategic leadership failures.

Accepted Answer

The answer of Leaders who rely too much on rational...

Quiz 11: Strategic Leadership and Change Management