In search of marketing equilibrium: Relationship marketing versus hypercompetition

Abstract

This paper is a discussion on work in progress concerning the development of relationship marketing (RM). It is particularly focused on the concept of marketing equilibrium which is a marketing management correspondence to market equilibrium, the traditional concept of neoclassical economics. The paper starts with a brief introduction to the author's approach to RM. It proceeds‐ with a summary of the concept of marketing equilibrium. The next section is a discourse on hypercompetition, a particularly intense type of competition that has been observed by several authors. RM offers a marketing theory based on collaboration with various stakeholders through long‐term relationships, customer retention and loyalty. In contrast, hypercompetition claims that customers will switch between suppliers at an increasingly faster rate and that competitors will become increasingly hostile to one another. Two basic questions are raised: do RM and hypercompetition represent two conflicting but coexisting trends that are both growing in intensity? and How can this coexistence or conflict be conceptually handled? The aim of this paper is not to be complete and provide an answer, only to draw the reader's attention to hypercompetition as an opposite trend to RM and to offer a platform for further analysis and constructive and reflective scholarly dialogue.