Schnatter resigned as chairman of the board earlier this week after Forbes reported that he used the N-word during a call between Papa John's officials and executives from the marketing agency Laundry Service. McConnell, an avid Louisville football fan, said "there's no place for racism in this country".
Papa John's Stadium, of course, is the home of the U of L's football Cardinals.
In a radio interview with WHAS in Louisville on Friday, Schnatter said he was "just talking the way that the Colonel talked".
The pizza chain later said it had accepted Mr Schnatter's resignation and that a new chairman would be appointed in the coming weeks.
Companies can leverage great personal stories to connect with customers, said Keith Hollingsworth, a professor at Morehouse College's business department. The Miami Marlins, meanwhile, announced they would be closing the Papa John's concession stand at their stadium.
"Our community has been fractured by the comments made by former UofL trustee John Schnatter", Bendapudi said in a statement she read to reporters, adding that the comments were "hurtful and unacceptable".
Schnatter owns almost 30 percent of the company's shares, which fell after the report but rebounded when he said he would depart as chairman.
Papa John's Cardinal Stadium will now be called simply Cardinal Stadium in the wake of a scandal involving the founder of the pizza chain whose company name has been attached to the stadium for years. While the comments were seemingly meant to denounce racism, several people on the call said they were offended by them, Forbes reported.
To say things have not been going well for Papa John's seems like an understatement.
Schnatter, a Trump donor, who has resigned from three high ranking positions in the past six months as a result of racist remarks, on Wednesday admitted to using the slur during a conference call in May. Take, for example, one from the summer of 2016, when Schnatter's usual red Papa John's shirt was replaced with a "Ghostbusters" jumpsuit in a 30-second TV spot and on a movie-themed pizza box.
The company can not afford to alienate customers, with sales already under pressure from rivals such as Domino's.
Fallout has already included Major League Baseball indefinitely suspending a promotion with Papa John's that offered people discounts at the pizza chain after a player hit a grand slam.
Papa John's is the world's third-largest pizza chain, with more than 350 outlets in the United Kingdom and 4,900 restaurants worldwide.
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