If you mean sorting alphabetically, then the answer is yes.
If there are text entries in the column you're sorting, and you have turned on Filter (In the Data tab), then you will be able to sort alphabetically just as easily as you can sort numerically.
UPDATED for question update:
Alphabetically includes words, so the answer would still be "yes" unless you mean an arbitrary arrangement different than strict alphabetical, in which case the answer would be "no".
Excel sorts alphabetically and numerically and alphanumerically (in which case the numbers go first in a descending sort).
Alphabetical sorting does handle words. Spaces occur after "z" and so a multi-word string in a field will occur after any single word strings with the same starting word.
If this still does not answer your question, perhaps you could use your sample data and actually sort it, and then show us the output as Excel has sorted it, and then the way you'd like it to be sorted instead.