Board Thread:Speculation House/@comment-26299202-20150805032636/@comment-4010415-20150816142120

Kyran Kandosa2 wrote: Though I will have to discount the notion that Neo ran from Raven due to recognizing a superior fighter, a trait held by most competent/veteran combatants. Raven's mere presence was enough to make Neo very scared, so Raven is obviously well-known in the underworld as a VDP "Very Dangerous Person" that you should avoid whenever possible. It wasn't Raven's presence that scared her. Raven actually landed a hit on Neo. She slashed Neo right across her abdomin and sent her flying backward, then drew an even longer sword than she had just hit Neo with.

Consider Neo's fighting style: Close combat wherein she uses her agility and umbrella to dodge and block attacks.

Now, consider what happened when Raven attacked her: She barely managed to dodge the first attack (at most, the blade may have grazed her arm), and she didn't move fast enough to dodge or block the second attack, which was a slash across her abdomin that knocked her back.

If she was barely able to hold her own when Raven was wielding a normal length katana, there was no way in hell she could face Raven wielding that long katana. There was no way she would've even been able to get in close.

I analyzed the scene and included screenshots in [http://rwby.wikia.com/wiki/User_blog:ChishioKunrin/%22Why_was_Neo_afraid_of_Raven%3F%22_An_explanation. this blog post].

Add in the fact that it was said, in the Volume 2 Director's Commentary, that Neo did not recognize Raven.