Short Answer Questions
Top executives and members of a corporation’s board of directors have different roles and responsibilities. Traditionally, executives have been responsible for determining the firm’s strategic direction and implementing strategies to achieve it, whereas the board of directors has been responsible for monitoring and controlling managerial decisions and actions. Some argue that boards should become more involved with the formulation of a firm’s strategies. How would the board’s increased involvement in the selection of strategies affect a firm’s strategic competitiveness? What evidence you offer to support their position?
• Why do firms experience evolutionary cycles in which there is a fit between strategy and structure, punctuated with periods in which strategy and structure are reshaped? Provide examples of global firms that have experienced this pattern.
• Choose a CEO of a prominent firm that you believe exemplifies the positive aspects of strategic leadership. What actions does this CEO take that demonstrate effective strategic leadership? What are the effects of those actions on the firm’s performance?
Is the term corporate entrepreneurship an oxymoron? In other words, can corporations—especially large ones—be innovative? Support your answer with examples.
Use the Internet to find an example of two corporate innovations—one brought about through autonomous strategic behavior and one developed through induced strategic behavior. Which innovation seems to hold the most promise for commercial success and why?
