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Summary Review Questions
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  1. Three key activities—setting a direction, designing the organization, and nurturing a culture and ethics—are all part of what effective leaders do on a regular basis. Explain how these three activities are interrelated.

  2. Define emotional intelligence (EI). What are the key elements of EI? Why is EI so important to successful strategic leadership? Address potential "downsides."

  3. The knowledge a firm possesses can be a source of competitive advantage. Describe ways that a firm can continuously learn to maintain its competitive position.

  4. How can the five central elements of "learning organizations" be incorporated into global companies?

  5. What are the benefits to firms and their shareholders of conducting business in an ethical manner?

  6. Firms that fail to behave in an ethical manner can incur high costs. What are these costs and what is their source?

  7. What are the most important differences between an "integrity organization" and a "compliance organization" in a firm's approach to organizational ethics?

  8. What are some of the important mechanisms for promoting ethics in a firm?







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