Abstract: A three-dimensional system for simulating the life cycle of enterprise alliance is described. The system and method are actualized as a matrix correlating business strategy and alliance benefit payoff and further mapped onto an axis of strategic structural scenarios. By providing basic financial information of an enterprise, one can determine where the enterprise is in relation to its expected life cycle. More importantly, the same system and method also show graphically and analytically what an enterprise has to do to achieve the next level of performance in a possible strategic alliance.

Abstract: The present invention is a novel method simulating and managing an alliance investment portfolio. It begins with the rationalization and creation of select alliances to become assets of an investment portfolio. The assets are categorized into a matrix combination of nine different financial variations that respond to the iterative nature of investment dynamics. Each of the select alliance is subjected to a ball and prism test determining the sustainability of growth of such alliance within the investment portfolio. Finally, the liquidity to be provided by investors to a vertical axis through the center of matrix combination of nine different financial variations in creating spatial representation of liquidity ad leverage relationship for alliance investments. Through the 3×3×3 alliance mix representation, one could derive valuation, pricing and other portfolio management information for alliance portfolio transparently and dynamically.