Theory of red queen effect : the dilemma of hypercompetition

Abstract EN

This study aims to shed light on the theory of “Red Queen Effect” as one of today's major concept in business management.

The study presents a literature review of studies that have analyzed the impact of red queen on companies in hypercompetitive industries.

It was noted that, since the first appearance of the red queen as a co-evolution theory in biology field, only a few of managerial studies have discussed it.

Despite this paucity, the study examined a total of 10 studies.

Hence, the study shows that results of previous studies are mixed between positive and negative impact, but the current paper focuses more on the distructive effect that makes the red queen as a real dilemma of hypercompetitive environment.

Finally, the study offers interesting implications for managers, pointing out that thinking differently to the way of competing, may results in escaping the red queen race.