diff --git a/mesa/examples/basic/alliance_formation_model/Readme.md b/mesa/examples/basic/alliance_formation_model/Readme.md
new file mode 100644
index 00000000000..4cd0edab7b7
--- /dev/null
+++ b/mesa/examples/basic/alliance_formation_model/Readme.md
@@ -0,0 +1,40 @@
+# Alliance Formation Model
+
+## Summary
+This model demonstrates Mesa's ability to dynamically create new classes of agents that are composed of existing agents. These meta-agents  inherits functions and attributes from their sub-agents and users can specify new functionality or attributes they want the meta agent to have. For example, if a user is doing a factory simulation with autonomous systems, each major component of that system can be a sub-agent of the overall robot agent. Or, if someone is doing a simulation of an organization, individuals can be part of different organizational units that are working for some purpose.
+
+To provide a simple demonstration of this capability is an alliance formation model.
+
+In this simulation n agents are created, who have two attributes (1) power and (2) preference. Each attribute is a number between 0 and 1 over a gaussian distribution. Agents then randomly select other agents and use the [bilateral shapley value](https://en.wikipedia.org/wiki/Shapley_value) to determine if they should form an alliance. If the expected utility support an alliances, the agent creates a meta-agent. Subsequent steps may add agents to the meta-agent, create new instances of similar hierarchy, or create a new hierarchy level where meta-agents form an alliance of meta-agents. In this visualization of this model a new meta-agent hierarchy will be a larger node and a new color.
+
+In its current configuration, agents being part of multiple meta-agents is not supported
+
+## Installation
+
+This model requires Mesa's recommended install and scipy
+```
+    $ pip install mesa[rec] scipy
+```
+
+## How to Run
+
+To run the model interactively, in this directory, run the following command
+
+```
+    $ solara run app.py
+```
+
+## Files
+
+* ``model.py``: Contains creation of agents, the network and management of agent execution.
+* ``agents.py``: Contains logic for forming alliances and creation of new agents
+* ``app.py``: Contains the code for the interactive Solara visualization.
+
+## Further Reading
+
+The full tutorial describing how the model is built can be found at:
+https://mesa.readthedocs.io/en/latest/tutorials/intro_tutorial.html
+
+An example of the bilateral shapley value in another model:
+[Techno-Social Energy Infrastructure Siting: Sustainable Energy Modeling Programming (SEMPro)](https://www.jasss.org/16/3/6.html)
+
diff --git a/mesa/examples/basic/alliance_formation_model/__init__.py b/mesa/examples/basic/alliance_formation_model/__init__.py
new file mode 100644
index 00000000000..49a80b627ee
--- /dev/null
+++ b/mesa/examples/basic/alliance_formation_model/__init__.py
@@ -0,0 +1,10 @@
+import logging
+
+# Configure logging
+logging.basicConfig(
+    level=logging.DEBUG, format="%(asctime)s - %(name)s - %(levelname)s - %(message)s"
+)
+
+# Example usage of logging
+logger = logging.getLogger(__name__)
+logger.info("Logging is configured and ready to use.")
diff --git a/mesa/examples/basic/alliance_formation_model/agents.py b/mesa/examples/basic/alliance_formation_model/agents.py
new file mode 100644
index 00000000000..38ff5ff92f8
--- /dev/null
+++ b/mesa/examples/basic/alliance_formation_model/agents.py
@@ -0,0 +1,71 @@
+import mesa
+from mesa.experimental.meta_agents import create_meta_agent
+
+
+def calculate_shapley_value(calling_agent, other_agent):
+    """
+    Calculate the Shapley value of the two agents
+    """
+    new_position = 1 - abs(calling_agent.position - other_agent.position)
+    potential_utility = (calling_agent.power + other_agent.power) * 1.1 * new_position
+    value_me = 0.5 * calling_agent.power + 0.5 * (potential_utility - other_agent.power)
+    value_other = 0.5 * other_agent.power + 0.5 * (
+        potential_utility - calling_agent.power
+    )
+
+    # Determine if there is value in the alliance
+    if value_me > calling_agent.power and value_other > other_agent.power:
+        if other_agent.hierarchy > calling_agent.hierarchy:
+            hierarchy = other_agent.hierarchy
+        elif other_agent.hierarchy == calling_agent.hierarchy:
+            hierarchy = calling_agent.hierarchy + 1
+        else:
+            hierarchy = calling_agent.hierarchy
+
+        return (potential_utility, new_position, hierarchy)
+    else:
+        return None
+
+
+class AllianceAgent(mesa.Agent):
+    """
+    Agent has three attributes power (float), position (float) and hierarchy (int)
+
+    """
+
+    def __init__(self, model, power, position, hierarchy=0):
+        super().__init__(model)
+        self.power = power
+        self.position = position
+        self.hierarchy = hierarchy
+
+    def form_alliance(self):
+        # Randomly select another agent of the same type
+        other_agents = [
+            agent for agent in self.model.agents_by_type[type(self)] if agent != self
+        ]
+
+        # Determine if there is a beneficial alliance
+        if other_agents:
+            other_agent = self.random.choice(other_agents)
+            shapley_value = calculate_shapley_value(self, other_agent)
+            if shapley_value:
+                class_name = f"MetaAgentHierarchy{shapley_value[2]}"
+                meta = create_meta_agent(
+                    self.model,
+                    class_name,
+                    {other_agent, self},
+                    meta_attributes={
+                        "hierarchy": shapley_value[2],
+                        "power": shapley_value[0],
+                        "position": shapley_value[1],
+                    },
+                )
+
+                # Update the network if a new meta agent instance created
+                if meta:
+                    self.model.network.add_node(
+                        meta.unique_id,
+                        size=(meta.hierarchy + 1) * 300,
+                        hierarchy=meta.hierarchy,
+                    )
diff --git a/mesa/examples/basic/alliance_formation_model/app.py b/mesa/examples/basic/alliance_formation_model/app.py
new file mode 100644
index 00000000000..cfdadcf2da9
--- /dev/null
+++ b/mesa/examples/basic/alliance_formation_model/app.py
@@ -0,0 +1,74 @@
+import matplotlib.pyplot as plt
+import networkx as nx
+import solara
+from matplotlib.figure import Figure
+from model import AllianceModel
+
+from mesa.mesa_logging import DEBUG, log_to_stderr
+from mesa.visualization import SolaraViz
+from mesa.visualization.utils import update_counter
+
+log_to_stderr(DEBUG)
+
+model_params = {
+    "seed": {
+        "type": "InputText",
+        "value": 42,
+        "label": "Random Seed",
+    },
+    "n": {
+        "type": "SliderInt",
+        "value": 50,
+        "label": "Number of agents:",
+        "min": 10,
+        "max": 100,
+        "step": 1,
+    },
+}
+
+# Create visualization elements. The visualization elements are solara components
+# that receive the model instance as a "prop" and display it in a certain way.
+# Under the hood these are just classes that receive the model instance.
+# You can also author your own visualization elements, which can also be functions
+# that receive the model instance and return a valid solara component.
+
+
+@solara.component
+def plot_network(model):
+    update_counter.get()
+    g = model.network
+    pos = nx.kamada_kawai_layout(g)
+    fig = Figure()
+    ax = fig.subplots()
+    labels = {agent.unique_id: agent.unique_id for agent in model.agents}
+    node_sizes = [g.nodes[node]["size"] for node in g.nodes]
+    node_colors = [g.nodes[node]["size"] for node in g.nodes()]
+
+    nx.draw(
+        g,
+        pos,
+        node_size=node_sizes,
+        node_color=node_colors,
+        cmap=plt.cm.coolwarm,
+        labels=labels,
+        ax=ax,
+    )
+
+    solara.FigureMatplotlib(fig)
+
+
+# Create initial model instance
+model = AllianceModel(50)
+
+# Create the SolaraViz page. This will automatically create a server and display the
+# visualization elements in a web browser.
+# Display it using the following command in the example directory:
+# solara run app.py
+# It will automatically update and display any changes made to this file
+page = SolaraViz(
+    model,
+    components=[plot_network],
+    model_params=model_params,
+    name="Alliance Formation Model",
+)
+page  # noqa
diff --git a/mesa/examples/basic/alliance_formation_model/model.py b/mesa/examples/basic/alliance_formation_model/model.py
new file mode 100644
index 00000000000..16c66fb987c
--- /dev/null
+++ b/mesa/examples/basic/alliance_formation_model/model.py
@@ -0,0 +1,39 @@
+import networkx as nx
+import numpy as np
+from agents import AllianceAgent
+
+import mesa
+
+
+class AllianceModel(mesa.Model):
+    def __init__(self, n=50, mean=0.5, std_dev=0.1, seed=42):
+        super().__init__(seed=seed)
+        self.population = n
+        self.network = nx.Graph()  # Initialize the network
+        self.datacollector = mesa.DataCollector(model_reporters={"Network": "network"})
+
+        # Create Agents
+        power = np.random.normal(mean, std_dev, n)
+        power = np.clip(power, 0, 1)
+        position = np.random.normal(mean, std_dev, n)
+        position = np.clip(position, 0, 1)
+        AllianceAgent.create_agents(self, n, power, position)
+        agent_ids = [
+            (agent.unique_id, {"size": 300, "hierarchy": 0}) for agent in self.agents
+        ]
+        self.network.add_nodes_from(agent_ids)
+
+    def add_link(self, meta_agent, agents):
+        for agent in agents:
+            self.network.add_edge(meta_agent.unique_id, agent.unique_id)
+
+    def step(self):
+        for agent_class in list(
+            self.agent_types
+        ):  # Convert to list to avoid modification during iteration
+            self.agents_by_type[agent_class].shuffle_do("form_alliance")
+
+            # Update graph
+            if agent_class is not AllianceAgent:
+                for meta_agent in self.agents_by_type[agent_class]:
+                    self.add_link(meta_agent, meta_agent.agents)
diff --git a/mesa/experimental/meta_agents/__init__.py b/mesa/experimental/meta_agents/__init__.py
new file mode 100644
index 00000000000..43f238bf253
--- /dev/null
+++ b/mesa/experimental/meta_agents/__init__.py
@@ -0,0 +1,25 @@
+"""This method is for dynamically creating new agents (meta-agents).
+
+Meta-agents are defined as agents composed of existing agents.
+
+Meta-agents are created dynamically with a pointer to the model, name of the meta-agent,,
+iterable of agents to belong to the new meta-agents, any new functions for the meta-agent,
+any new attributes for the meta-agent, whether to retain sub-agent functions,
+whether to retain sub-agent attributes.
+
+Examples of meta-agents:
+- An autonomous car where the subagents are the wheels, sensors,
+battery, computer etc. and the meta-agent is the car itself.
+- A company where the subagents are employees, departments, buildings, etc.
+- A city where the subagents are people, buildings, streets, etc.
+
+Currently meta-agents are restricted to one parent agent for each subagent/
+one meta-agent per subagent.
+
+Goal is to assess usage and expand functionality.
+
+"""
+
+from .meta_agents import create_meta_agent
+
+__all__ = ["create_meta_agent"]
diff --git a/mesa/experimental/meta_agents/meta_agents.py b/mesa/experimental/meta_agents/meta_agents.py
new file mode 100644
index 00000000000..3dc26696234
--- /dev/null
+++ b/mesa/experimental/meta_agents/meta_agents.py
@@ -0,0 +1,158 @@
+"""This method is for dynamically  creating meta-agents that represent groups of agents with interdependent characteristics.
+
+The new meta-agent class is created dynamically using the provided name and
+unique attributes and functions.
+
+Currently restricted to one parent agent and one meta-agent per agent.
+Goal is to assess usage and expand functionality.
+
+Method has three paths of execution:
+1. Add agents to existing meta-agent
+2. Create new meta-agent instance of existing meta-agent class
+3. Create new meta-agent class
+
+See alliance formation model in basic examples for usage.
+
+"""
+
+from types import MethodType
+
+
+def create_meta_agent(
+    model,
+    new_agent_class: str,
+    agents,
+    meta_attributes=dict(),  # noqa B006
+    meta_functions=dict(),  # noqa B006
+    retain_subagent_functions=True,
+    retain_subagent_attributes=False,
+):
+    """Dynamically create a new meta-agent class and instantiate agents in that class.
+
+    Parameters:
+    model (Model): The model instance.
+    new_agent_class (str): The name of the new meta-agent class.
+    agents (Iterable[Agent]): The agents to be included in the meta-agent.
+    meta_attributes (dict): Attributes to be added to the meta-agent.
+    meta_functions (dict): Functions to be added to the meta-agent.
+    retain_subagent_functions (bool): Whether to retain functions from sub-agents.
+    retain_subagent_attributes (bool): Whether to retain attributes from sub-agents.
+
+    Returns:
+        - None if adding agent(s) to existing class
+        - New class instance if created a new instance of a dynamically
+        created agent type
+        - New class instance if created a new dynamically created agent type
+    """
+    from mesa import (
+        Agent,  # Import the Agent class from Mesa locally to avoid circular import
+    )
+
+    # Convert agents to set to ensure uniqueness
+    agents = set(agents)
+
+    def add_agents(meta_agent, new_agents: set[Agent]):
+        """Update agents' meta-agent attribute and store agent's meta-agent.
+
+        Parameters:
+        meta_agent (MetaAgent): The meta-agent instance.
+        new_agents (Set[Agent]): The new agents to be added.
+        """
+        meta_agent.agents.update(new_agents)
+        for agent in new_agents:
+            agent.meta_agent = meta_agent
+
+    def add_functions(meta_agent_instance, agents, meta_functions):
+        """Add functions to the meta-agent instance.
+
+        Parameters:
+        meta_agent_instance (MetaAgent): The meta-agent instance.
+        agents (Iterable[Agent]): The agents to derive functions from.
+        meta_functions (dict): Functions to be added to the meta-agent.
+        """
+        if retain_subagent_functions:
+            agent_classes = {type(agent) for agent in agents}
+            for agent_class in agent_classes:
+                for name in dir(agent_class):
+                    if callable(getattr(agent_class, name)) and not name.startswith(
+                        "__"
+                    ):
+                        original_method = getattr(agent_class, name)
+                        meta_functions[name] = original_method
+
+        if meta_functions:
+            for name, func in meta_functions.items():
+                bound_method = MethodType(func, meta_agent_instance)
+                setattr(meta_agent_instance, name, bound_method)
+
+    def add_attributes(meta_agent_instance, agents, meta_attributes):
+        """Add attributes to the meta-agent instance.
+
+        Parameters:
+        meta_agent_instance (MetaAgent): The meta-agent instance.
+        agents (Iterable[Agent]): The agents to derive attributes from.
+        meta_attributes (dict): Attributes to be added to the meta-agent.
+        """
+        if retain_subagent_attributes:
+            subagent_attributes = {
+                k: v
+                for agent in agents
+                for k, v in agent.__dict__.items()
+                if not callable(v)
+            }
+            meta_attributes.update(subagent_attributes)
+
+        if meta_attributes:
+            for key, value in meta_attributes.items():
+                setattr(meta_agent_instance, key, value)
+
+    # Path 1 - Add agents to existing meta-agent
+    subagents = [a for a in agents if hasattr(a, "meta_agent")]
+    if len(subagents) > 0:
+        if len(subagents) == 1:
+            add_agents(subagents[0].meta_agent, agents)
+        else:
+            subagent = model.random.choice(subagents)
+            agents = set(agents) - set(subagents)
+            add_agents(subagent.meta_agent, agents)
+            # TODO: Add way for user to specify how agents join meta-agent instead of random choice
+    else:
+        # Path 2 - Create a new instance of an existing meta-agent class
+        agent_class = next(
+            (
+                agent_type
+                for agent_type in model.agent_types
+                if agent_type.__name__ == new_agent_class
+            ),
+            None,
+        )
+
+        if agent_class:
+            meta_agent_instance = agent_class(model, agents)
+            add_attributes(meta_agent_instance, agents, meta_attributes)
+            add_functions(meta_agent_instance, agents, meta_functions)
+            add_agents(meta_agent_instance, agents)
+            model.register_agent(meta_agent_instance)
+            return meta_agent_instance
+        else:
+            # Path 3 - Create a new meta-agent class
+            class MetaAgentClass(Agent):
+                def __init__(self, model, agents):
+                    super().__init__(model)
+                    self.agents = agents
+
+            meta_agent_class = type(
+                new_agent_class,
+                (MetaAgentClass,),
+                {
+                    "unique_id": None,
+                    "agents": None,
+                },
+            )
+
+            meta_agent_instance = meta_agent_class(model=model, agents=agents)
+            add_attributes(meta_agent_instance, agents, meta_attributes)
+            add_functions(meta_agent_instance, agents, meta_functions)
+            model.register_agent(meta_agent_instance)
+            add_agents(meta_agent_instance, agents)
+            return meta_agent_instance
diff --git a/tests/test_meta_agents.py b/tests/test_meta_agents.py
new file mode 100644
index 00000000000..dc03d27484c
--- /dev/null
+++ b/tests/test_meta_agents.py
@@ -0,0 +1,115 @@
+"""Tests for the meta_agents module."""
+
+import pytest
+
+from mesa import Agent, Model
+from mesa.experimental.meta_agents.meta_agents import create_meta_agent
+
+
+@pytest.fixture
+def setup_agents():
+    """Set up the model and agents for testing.
+
+    Returns:
+        tuple: A tuple containing the model and a list of agents.
+    """
+    model = Model()
+    agent1 = Agent(model)
+    agent2 = Agent(model)
+    agent3 = Agent(model)
+    agent4 = Agent(model)
+    agent4.custom_attribute = "custom_value"
+    agent4.custom_function = lambda: "custom_function"
+    agents = [agent1, agent2, agent3, agent4]
+    return model, agents
+
+
+def test_create_meta_agent_new_class(setup_agents):
+    """Test creating a new meta-agent class and test inclusion of attributes and functions.
+
+    Args:
+        setup_agents (tuple): The model and agents fixture.
+    """
+    model, agents = setup_agents
+    meta_agent = create_meta_agent(
+        model,
+        "MetaAgentClass",
+        agents,
+        meta_attributes={"attribute1": "value1"},
+        meta_functions={"function1": lambda self: "function1"},
+    )
+    assert meta_agent is not None
+    assert meta_agent.attribute1 == "value1"
+    assert meta_agent.function1() == "function1"
+    assert meta_agent.agents == set(agents)
+    assert hasattr(meta_agent, "custom_attribute")
+    assert meta_agent.custom_attribute == "custom_value"
+    assert hasattr(meta_agent, "custom_function")
+    assert meta_agent.custom_function() == "custom_function"
+
+
+def test_create_meta_agent_existing_class(setup_agents):
+    """Test creating new meta-agent instance with an existing meta-agent class.
+
+    Args:
+        setup_agents (tuple): The model and agents fixture.
+    """
+    model, agents = setup_agents
+
+    # Create Met Agent Class
+    meta_agent = create_meta_agent(
+        model,
+        "MetaAgentClass",
+        [agents[0], agents[2]],
+        meta_attributes={"attribute1": "value1"},
+        meta_functions={"function1": lambda self: "function1"},
+    )
+
+    # Create new meta-agent instance with existing class
+    meta_agent2 = create_meta_agent(
+        model,
+        "MetaAgentClass",
+        [agents[1]],
+        meta_attributes={"attribute2": "value2"},
+        meta_functions={"function2": lambda self: "function2"},
+    )
+    assert meta_agent is not None
+    assert meta_agent2.attribute2 == "value2"
+    assert meta_agent.function1() == "function1"
+    assert meta_agent.agents == {agents[2], agents[0]}
+    assert meta_agent2.function2() == "function2"
+    assert meta_agent2.agents == {agents[1]}
+    assert hasattr(meta_agent2, "custom_attribute")
+    assert meta_agent2.custom_attribute == "custom_value"
+    assert hasattr(meta_agent2, "custom_function")
+    assert meta_agent2.custom_function() == "custom_function"
+
+
+def test_add_agents_to_existing_meta_agent(setup_agents):
+    """Test adding agents to an existing meta-agent instance.
+
+    Args:
+        setup_agents (tuple): The model and agents fixture.
+    """
+    model, agents = setup_agents
+
+    meta_agent1 = create_meta_agent(
+        model,
+        "MetaAgentClass",
+        [agents[0], agents[2]],
+        meta_attributes={"attribute1": "value1"},
+        meta_functions={"function1": lambda self: "function1"},
+    )
+
+    create_meta_agent(
+        model,
+        "MetaAgentClass",
+        [agents[1], agents[0], agents[2]],
+    )
+    assert meta_agent1.agents == {agents[0], agents[1], agents[2]}
+    assert meta_agent1.function1() == "function1"
+    assert meta_agent1.attribute1 == "value1"
+    assert hasattr(meta_agent1, "custom_attribute")
+    assert meta_agent1.custom_attribute == "custom_value"
+    assert hasattr(meta_agent1, "custom_function")
+    assert meta_agent1.custom_function() == "custom_function"
diff --git a/tests/test_solara_viz.py b/tests/test_solara_viz.py
index 3b8d82fb7bc..a84fc910364 100644
--- a/tests/test_solara_viz.py
+++ b/tests/test_solara_viz.py
@@ -92,7 +92,8 @@ def Test(user_params):
         assert slider_int.step is None
 
 
-def test_call_space_drawer(mocker):  # noqa: D103
+def test_call_space_drawer(mocker):
+    """Test the call to space drawer."""
     mock_space_matplotlib = mocker.spy(
         mesa.visualization.components.matplotlib_components, "SpaceMatplotlib"
     )
@@ -153,7 +154,8 @@ def drawer(model):
     )
 
 
-def test_slider():  # noqa: D103
+def test_slider():
+    """Test the Slider component."""
     slider_float = Slider("Agent density", 0.8, 0.1, 1.0, 0.1)
     assert slider_float.is_float_slider
     assert slider_float.value == 0.8
@@ -167,7 +169,9 @@ def test_slider():  # noqa: D103
     assert slider_dtype_float.is_float_slider
 
 
-def test_model_param_checks():  # noqa: D103
+def test_model_param_checks():
+    """Test the model parameter checks."""
+
     class ModelWithOptionalParams:
         def __init__(self, required_param, optional_param=10):
             pass