This paper will compare the attributes of General Electric CEO Jack Welch to those of a "prince," as expounded by Niccolo Machiavelli. This paper will compare various aspects of Machiavelli's theory concerning the proper behavior of leaders with the record of Welch. Specifically, the paper will look at Machiavelli's theories on a leader's rise to power, the personal attributes needed by a leader, the acquisition of new "principalities," the requirement that leaders shun flatterers, the need to act impetuously to control fortune, and the need to satisfy the more powerful classes.
Machiavelli held that there are different types of principalities, as defined by how their rulers acquire power. First, there is the hereditary principality, in which rulers are chosen from among the members of the traditional ruling family. Maintaining rule in these principalities is much easier than in others because the inhabitants are accustomed to being ruled by the Prince's family. Therefore, the prince need only avoid neglecting traditional institutions founded by his family (Machiavelli, 1995, pp. 5-6).
Strictly speaking, G.E. could hardly be called a hereditary principality, since its "rulers" have not been members of a blood family. However, it is possible to make an argument that the company does indeed share certain characteristics with a hereditary principality. First, the company has existed without interruption since 1889. It has not been subjected to "violent revolutions" or takeovers by other companies. Indeed, it has grown by acquiring other companies and making them part of its existing structure. Second, the transition of leadership in the company has operated smoothly throughout its corporate life, with the succession process becoming increasingly organized and even ritualized. Although not selected from a single blood family, G.E.'s CEOs have been mainly selected from within its corporate structure. In fact, G.E. has the ...