Community and Business Sustainability in Islamic Boarding Schools of the Tapal Kuda Region

Abstract

This study aims to analyze the role of the Islamic boarding school community (jama'ah) in building and maintaining business sustainability in Islamic boarding schools located in the Tapal Kuda region of East Java, namely Nurul Jadid Islamic Boarding School in Paiton, Salafiyah Syafi’iyyah Islamic Boarding School in Sukorejo, and Zainul Hasan Genggong Islamic Boarding School. Islamic boarding schools (pesantren) not only function as institutions of education and Islamic propagation (da'wah), but have also developed into centers of economic empowerment capable of supporting institutional self-reliance and improving the welfare of surrounding communities. This research employed a qualitative approach using a case study method in several Islamic boarding schools in the Tapal Kuda region. Data were collected through in-depth interviews, observations, and documentation, and were subsequently analyzed using interactive analysis techniques, including data reduction, data display, and conclusion drawing. The findings indicate that the business sustainability of Islamic boarding schools is determined by the strength of their communities, which involve kiai (Islamic scholars), administrators, students, alumni, parents of students, and local communities within mutually supportive social networks. Social capital in the form of trust, Islamic values, charismatic leadership, and a culture of mutual cooperation (gotong royong) constitutes the primary factor in sustaining pesantren enterprises. Furthermore, business unit diversification, strengthening institutional governance, human resource development, and the utilization of alumni networks contribute significantly to the economic resilience of Islamic boarding schools. The business model developed is not solely oriented toward economic profit but also emphasizes social aspects and benefits for the wider community. These findings confirm that the integration of community strength and business strategies grounded in Islamic values is capable of creating institutional sustainability while enhancing the contribution of Islamic boarding schools to local economic development. This study provides a conceptual contribution to the community-based business sustainability model within Islamic educational institutions. In addition, Islamic boarding schools play an important role in creating employment opportunities and developing human resources who embody Islamic ethical values.