Midterm Exam on Strategic Management

According to Peter Drucker, answering the question "What is our business?" is the first responsibility of strategists.

• True

• False

When developing a vision statement, input should be received from as many managers as possible

• True

• False

A small nonprofit organization would probably develop a vision statement but not a mission statement.

• True

• False

According to Campbell and Yeung, the process of developing a mission statement should create an "emotional bond" and "sense of mission" between the organization and its employees

• True

• False

Research has failed to find a positive relationship between mission statements and organizational performance.

• True

• False

When a company has been successful, the question "What is our business?" becomes less important.

• True

• False

Having a clear mission and vision can provide a basis for a company's internal and external assessments.

• True

• False

One of the benefits of having a clear mission and vision is the promotion of a sense of shared expectations among all managers and employees.

• True

• False

A mission statement should include a clear summary of an organization's financial status.

• True

• False

It is unusual for the claims and concerns of a company's stakeholders to vary or conflict.

• True

• False