System and method for operating load balancers for multiple instance applications

In one representative embodiment, a system for operating load balancers for multiple instance applications comprises a plurality of cluster nodes for executing applications, wherein at least a subset of the plurality of cluster nodes executes multiple applications and includes respective resource allocation modules for assigning resources between the multiple applications in response to performance data associated with the multiple applications, a plurality of load balancers for distributing application transactions between the plurality of cluster nodes, and a configuration process that analyzes performance data associated with the multiple applications and dynamically configures the plurality of load balancers in response to the analysis.