Moral Authority and Stakeholder Participation in Value Co-Creation within a Pesantren-Based Social Enterprise

This study examines how moral authority shapes stakeholder participation and value co-creation within a pesantren-based social enterprise, focusing on educational commitments and commercial demands in everyday practice. An interpretive qualitative design involved 20 participants representing religious leadership, managers, teachers, students, alumni, community members, and external partners. Interviews, field observations, and institutional documents were analyzed through iterative thematic interpretation and comparison across stakeholder accounts. Findings indicate that moral authority coordinated resource contributions and defined acceptable commercial practices while concentrating final approval and constraining managerial discretion. Stakeholders reported economic, social, educational, and spiritual benefits alongside student fatigue, decision delays, and administrative limitations. Participation in production and consultation did not necessarily confer equivalent influence over institutional priorities. The study introduces bounded stakeholder participation to explain resource integration and operational involvement under concentrated religious authority. Its originality lies in identifying moral authority as both a coordinating resource and an organizational constraint. The study contributes a contextual framework and five analytical propositions on delegated decision-making, educational safeguards, financial accountability, and succession planning, without claiming causal verification or demonstrated long-term sustainability.