Apple retail’s Ron Johnson and John Browett have proved the Peter Principle is alive and well

“The Peter Principle is a principle articulated by Dr. Laurence J. Peter in which in an organization where promotion is based on achievement, success, and merit, that organization’s members will eventually be promoted beyond their level of ability,” Saibus Research writes for Seeking Alpha. “The principle is commonly phrased, ’employees tend to rise to their level of incompetence.’ In more formal parlance, the effect could be stated as: employees tend to be given more authority until they cannot continue to work competently.”

“Peter’s Corollary states that ‘In time, every post tends to be occupied by an employee who is incompetent to carry out its duties’ and adds that ‘work is accomplished by those employees who have not yet reached their level of incompetence,'” Saibus Research writes. “We can see that the bosses of Apple Retail (AAPL) (Ron Johnson (2000-2011) and John Browett (2012)) have proven that the Peter Principle is alive and well in the 21st century retailing marketplace.”

Saibus Research writes, “We’re hoping that Apple Retail’s next boss is someone who is motivated to take it to the next level but isn’t motivated to use his experience at Apple Retail as a launching pad for his next position. Our research here reinforces our long position in Apple because we believe it was a learning experience for Tim Cook as well as the next head of Apple Retail.”

Read more in the full article here.

MacDailyNews Take: We’re not ready to give up on Ron Johnson just yet.

Browett, of course, can go pound sand.


  1. Looks like most comments got off the subject, but back to the subject:
    I whole heartedly agree with the article and the principle. There is so much emphasis on advancing to make you successful that just doing a good job at the level your at and staying at that level isn’t recognized or rewarded. It is always “move up the ladder.” The school of experience means less and less while more and more emphasis is put on education and degrees. There are some things that education can’t teach as well as the school of hard knocks.

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