Bruno Guillon, who joined from French fashion brand Hermes in 2012, has been criticised for alienating Mulberry’s core shoppers by pushing up prices in an attempt to shift Mulberry from affordable luxury to high-end designer.
It has also been hurt by the success of aspirational brands such as Michael Kors winning over its key customers.
In January Mulberry, which is also investing heavily into its expansion overseas, cut its profit forecast for the third time in 18 months blaming weak trading in Korea and fierce discounting over Christmas.
Mulberry said its chairman Godfrey Davis will oversee the business until a successor is found. It did not disclose if Guillon, who was paid £803,000 last year, would receive a pay-off.