Nike's Top Executive Ann Herbert Resigned, Here's Why

Ann Herbert: Here are 8 things to know why the top executive of Nike resigned from her post.

Ann Herbert, the Vice President and General Manager of the sportswear giant Nike (North America division), departed from the company after a service of more than 25 years. Mike announced her departure on  March 1, with immediate effect.

Although the exact reason for her resignation has not been disclosed, a lot of sources agree that it has to do with the revelation of her 19-year old son Joe Herbert's sneaker resale business in a recent report by Bloomberg Businessweek.

Here are 8 things to know about the case:

1. A report by the American weekly business magazine Bloomberg Businessweek highlighted how Ann Herbert's son Joe ran the sneakers resale business West Coast Streetwear.
2. It was reported that he used his mother's credit card to buy over $100,000 worth of limited-edition shoes for the purpose.
3. Furthermore, the report also found him using advanced software to make an online purchase of 600 pairs of Adidas Yeezy Boost 350 Zyon, a highly demanded sneaker, after its release. He also bought products in bulk that way.
4. He also used her credit card to increase the stock of his resale business and sold the shoes for profits of more than $600,000.
5. According to reports, Ann informed Nike about her son's business in 2018. As stated by the company, there was neither any form of violation of the company's policies nor was there any commercial affiliation between the resale business and Nike, including the direct buying or selling of the latter's products.
6. However, the reasons which are speculated behind the resignation is Ann's son's efforts to sell other products, including Adidas, Supreme and PlayStation 5's along with Nike's. Furthermore, his usage of advanced software for bulk purchase might have been another aiding factor.
7. Although using advanced software to bypass systems, meant to limit purchases, isn't illegal, it's often frowned upon by makers and even other resellers, who are left with little product to sell.
8. Neither Anne, Nike nor Joe have issued a statement concerning the on-going situation. This is a developing report.

Feature Image Credits: Nikenicks