Strategic Digital Branding in Sharia Business Institutions: Integrating Ethical Identity, Stakeholder Engagement, and Institutional Integrity

Abstract

In the rapidly evolving digital economy, sharia business institutions face increasing pressure to maintain ethical distinctiveness while navigating competitive branding environments. The proliferation of online platforms necessitates not only technological adaptation but also the alignment of brand identity with sharia values, such as amanah, maslahah, and istiqāmah. As institutions that claim moral and ethical authority, sharia-based organizations must strategically engage stakeholders through transparent digital narratives that reinforce both religious authenticity and institutional trust. This study investigates the strategic digital branding approaches of sharia business institutions, focusing on three interrelated dimensions: ethical identity, stakeholder engagement, and institutional integrity. It aims to construct a conceptual and empirical understanding of how Islamic values are communicated through digital channels to create institutional legitimacy. Grounded in qualitative textual analysis, the study synthesizes literature, organizational digital platforms, and regulatory frameworks, and is supported by theoretical insights from Islamic economics, stakeholder theory, and institutional branding models. Findings reveal that digital branding rooted in Islamic ethical identity enhances stakeholder loyalty, especially when engagement strategies are dialogical, inclusive, and aligned with shariah principles. Furthermore, institutions that consistently project integrity online tend to enjoy stronger reputational capital, leading to increased trust from stakeholders, particularly in Muslim-majority contexts. This study contributes to bridging theoretical discourse and practical implementation in the field of Islamic business strategy. It emphasizes the necessity for sharia business institutions to not only digitize but to do so ethically, anchoring their digital presence in authentic value narratives that foster sustainable stakeholder relationships.