Big Isn't Strong, Strong is Strong

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Big isn't strong, strong is strong. Do you agree or disagree?  When I went to my USAW certification and saw a 26-year old guy clean and jerk 225# at 5'2" and 120 lbs. it really humbled me. (and that was his daily practice, not even an PR) Now to be clear, he had been oly lifting for 8 years and had amazing technique, but it was fun to watch him work. 
"Sarcoplasmic hypertrophy" occurs when fluid in the muscle increases due to muscle fatigue. The guys who want to get huge should train for sarcoplasmic hypertrophy. "Myofibrillar hypertrophy" occurs when the actual muscle tissue increases in size due to muscle tension. This results in a dense muscular look. The small olympic lifter would train mostly singles and triples (reps) under maximal tension, therefore resulting in mostly myofibrillar hypertrophy. 
So, what are your thoughts on perception of strength and reality? Have you encountered people who you think are strong, but they don't live up to expectations? Or vice versa: have you encountered people who are "normal" sized or even small and are stronger than you ever expected? Is there a difference between technical lifts such as the the clean and jerk and "real world" strength such as lifting a box? Which would you rather be?