A modified shear lag theory is used to model the tensile behavior of Pinctada nacre. A two-dimensional model is used to analyze the stress transfer between the aragonite platelets of nacre assuming that the ends of the platelet are not bonded with the organic matrix. Elastic-perfectly plastic behavior of the organic matrix is assumed. A model for stress transfer between the platelets when the matrix between the platelets starts behaving plastically is developed. It is assumed that nacre fails when the matrix breaks after the ultimate shear strain in the matrix is exceeded. This theory can be used to model the stress transfer in platelet reinforced composites at high volume fractions.