One weakness associated with the fair value enterprise method is that:

it is inconsistent with the historical cost principle.

non$-$controlling interest $($NCI$)$ is computed using the fair market values of the subsidiary's net assets.

non$-$controlling interest $($NCI$)$ is computed using the book values of the subsidiary's net assets.

the implied value based on the parent's acquisition cost may be unrealistic when the parent purchases significantly less than $100\%$ of the subsidiary's voting shares.