I think (1) works best when your vision is coherent and consistent. People familiar with it should be able to explain it well themselves, and predict with some

I think (1) works best when your vision is coherent and consistent. People familiar with it should be able to explain it well themselves, and predict with some reliability whether a given product or experience will meet expectations. In this case, the vision is unifying and improves your ability to execute. If the vision is not coherent or consistent then you lose the ability to execute without micro-management. Staff will be unhappy because they feel subject to the whims of an unpredictable dictator. You can have both experiences in the same company if there are some people who "get it" and other people who don't.