When Nike said on Thursday that John Donahoe was stepping down as chief executive officer, his exit from a rocky tenure offered a brutal reminder to corporate boards: Focus on what a company's core business is when looking for a new CEO.

Nike spent nearly $104 million on pay and benefits for John Donahoe during his near five-year tenure atop the sneaker-maker, before replacing the former Bain & Co. executive in a bid to revive the brand.

Elliott Hill, an executive who left the company after Donahoe’s appointment in 2020, will return as chief executive, Nike’s board said.