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An LCE with a p-pentaphenyl transverse rod in the main chain was synthesized, in which the rod can be oriented parallel or normal to the main chain under uniaxial tension. DSC and WAXD studies indicate a highly ordered lamellar structure typical of a smectic A phase. Stress‐strain curves showed a large Young modulus at small strains, followed by a yield point, at which necking occurred and the specimen became transparent. An interesting rigid‐soft‐rigid phenomenon was observed in the yield section, which is likely to indicate a self‐assembly‐driven reconstruction process. Two possible arrangements of transverse rods and chain extenders are proposed for the network structure.