Nike announced on Tuesday that longtime executive Mark Parker will be stepping down from his role of CEO in January 2020.
Parker will be replaced by John Donahoe, current CEO of ServiceNow and PayPal’s chairman of the board. He previously served as former CEO of eBay. Parker will continue to serve as executive chairman on the board of directors.
“This is an exciting time for Nike where we see brand strength and momentum throughout the world and great opportunity for future growth,” Parker said in a statement. “I am delighted John will join our team. His expertise in digital commerce, technology, global strategy and leadership combined with his strong relationship with the brand, make him ideally suited to accelerate our digital transformation and to build on the positive impact of our Consumer Direct Offense.”
Ironically, the announcement of Parker’s resignation happened to be on the same day that the founder and CEO of Under Armour, Kevin Plank, announced he will be stepping down in January 2020.
In recent years, Nike has been the subject of several controversies. In October, Parker was accused of being associated with a doping scandal in which he was linked to incriminating emails involving Nike sponsored coach and doctor Alberto Salazar.
The sportswear company has also been subjected to lawsuits regarding offenses against women, such as gender discrimination, sexual harassment, and cultivating a toxic workplace environment. Female athletes that were sponsored by the company also claimed that they were being financially penalized once they became pregnant.
In spite of the controversies, Nike has managed to steadily grow. Under Parker’s reign, Nike has increased in stock price (currently at 95.60), has a market capitalization close to $149.236 billion, and doubled its revenue from $15 billion to $39 billion.
Parker has been CEO of Nike since 2006, when he took over the CEO post from founder Phil Knight. He started with the company in 1979 as a shoe designer before working his way up the corporate ladder.
