One reason could be the overwhelming pressure. Being Hokage means shouldering the safety and well - being of the entire village. Naruto might have realized that he can't bear that kind of stress forever. Another factor could be personal sacrifice. He may have seen how being Hokage has cost others in their personal lives and he doesn't want to go through the same. Also, he might have new dreams or goals that are not compatible with the role of Hokage, like exploring the world outside the village more freely.
With his friends, it might create a sense of shock. His friends who have always supported his dream of being Hokage would be surprised. Some might be disappointed, like Sakura who has seen Naruto's growth towards that goal. But others, like Shikamaru, might understand his decision and still support him in whatever he chooses to do. With his family, if he has a family at this point, it could bring a sense of relief as they may not want him to be in such a dangerous and stressful position.
One possible reason could be that he experiences a great loss, like the death of a dear friend. This might shatter his confidence and make him lose his passion for being a ninja.
The implications are vast. In terms of international relations, Naruto as the 1st Hokage might make the Hidden Leaf more open to other villages right from the beginning. His reputation for kindness and his willingness to forgive could lead to better diplomatic relations. Moreover, the training and education system in the village could be revolutionized. He might focus more on individual growth and moral values rather than just pure combat skills, which would produce a different kind of ninja compared to what we see in the original Naruto story.
Perhaps a perk is the ability to shape the future of the ninja world. As Hokage, one can inspire the younger generation of ninjas. They can create new ninja academies or training programs. They also have the power to pardon or punish ninjas according to their deeds, which helps in maintaining law and order in the village.
The villagers' attitude towards Naruto would shift. They have come to see Naruto as a symbol of hope and a powerful ninja. If he gives up, some might be disappointed, while others who were always a bit jealous or suspicious of him might feel vindicated. His friends among the villagers, like Shikamaru or Choji, would be sad to see him go from the ninja life but would still try to maintain their friendship with him in a different context.
One possible reason could be that he experiences a great personal loss. Maybe he loses someone very dear to him during a mission, like his best friend or a respected mentor. This loss makes him question the whole ninja life and all the violence and danger it entails, leading him to give it up.
It could also be that he is tired of the false expectations created by fanfiction. In fanfiction, his character might be portrayed in ways that don't match who he really is. He wants to be true to himself and his ninja way, so he gives up fanfiction.
Well, it depends on the specific fanfiction. Some fanfictions might explore alternate storylines where Naruto doesn't become the Hokage at all. Maybe he decides to pursue a different path in life, like focusing on being a teacher or an explorer. However, in a large number of fanfictions, he does achieve his goal of becoming the Hokage because it's such an iconic and desired outcome for fans who want to see his journey to the top in different ways.