This study examines how meritocracy was embedded in formal schooling through the college entrance system with a keyword of fair competition, using a systematic literature review method. By analyzing 22 research articles that were finally selected based on the keywords of meritocracy, formal schooling, college entrance system, and fair competition, the result first shows that those articles made somehow different definition on meritocracy. Second, it was found that meritocracy was related to the permeation of dominant ideology such as capitalism and neoliberalism in formal schooling system. Third, it was possible to understand that the college entrance system, by which many people in Korean society believed to make the setting of fair competition in status attainment process, was a significant factor to stimulate endless competition to attain merits. Fourth, it was possible to reveal that meritocracy is an ideology in which social inequality is overlooked. Through the results of this literature review, the drawbacks of meritocracy were addressed and the implications for the future of formal schooling with keywords of diversity and equality were also added.