<p>This paper reconceptualizes organizational legitimacy through the concept of the moral authority of the firm, proposing that traditional approaches emphasizing profit and compliance are insufficient in contemporary contexts marked by heightened ethical scrutiny and sustained theoretical criticism of shareholder primacy. Drawing upon philosophical traditions in normative ethics and political philosophy, alongside historical management theories, humanistic management perspectives, and recent stakeholder-centric legitimacy research, we define moral authority as legitimacy derived from upholding ethical values of justice, care, truthfulness, and empowerment. Arguing that firms must move beyond superficial compliance and efficiency toward genuine moral excellence, we illustrate how these dimensions collectively produce coherent moral legitimacy, aligning internal practices with external stakeholder expectations. The paper also extends the framework to contemporary challenges posed by algorithmic management, demonstrating the continued importance of preserving human dignity and human-centered ethical principles even in technologically advanced settings. We offer empirically testable propositions regarding moral authority’s impact on stakeholder trust, resilience in crises, innovation, employee outcomes, and competitive differentiation, suggesting methodological pathways for future research. The paper concludes by emphasizing the theoretical and practical implications of embedding ethical values centrally in organizational strategy, governance, and stakeholder engagement, asserting moral authority as both an ethical normative imperative and foundational to sustained organizational excellence.</p>