Oh a bit of competition makes everyone drive a bit harder to do a bit better... least that's how I see it:). I mean I would NOT be good at glass at all if I wasn't DRIVEN to get technically better faster to win some competitions (and get more materials). But I can see also that some people would not go for that too. I have a bad habit of spending more time thinking before doing, and sometimes competition propels me into doing... far faster than I would have otherwise with no direct motivation or inspiration.
The other thing that's wonderful about a competition, especially an honestly judged one by impartial 3rd parties is that you get a sense of customer trends. WHY does someone like that better? For some, people who never sell their art, their art need only appeal to themselves, who cares whether anyone thinks it's nice or not? For others, who sell their products, that market study is critical to their own success in the marketplace.
You will find that in any group, where there's no comparative judgement, the comments are often very related to personal like or dislike of a PERSON, not the art itself. Ie., I like so and so, so I'm going to say nice things to encourage them! I'd never buy that, but I want them to make them feel good for trying! And harming that person in the long run, because they may attempt to make it in a marketplace with a product that isn't yet ready for sale.
However, personal popularity is going to sell absolutely nothing on ebay (at least until you build up a following), where the only thing that is going to move sales is quality, price, and taste/trends. So while it's very helpful to a hobbyist to be surrounded with caring supportive people, it's a false reflection of the marketplace for a product and its related skillset. And for those in the market, or wishing to enter the competitive market, competition is very important in establishing a different type of confidence.... along the lines of 'can I give up my day job' because my art is good enough to get people to spend their money on it?
So I guess for hobbyists, competition may be a bad thing (except to determine where the actual 'professional' bar is set), but I think for current artists, it's a great gauge of where you are in the relative market.
AND, I'd say that every single carver here on the forum ARE good technically enough to sell commercially, so a contest would be not judging skill, but judging taste, and that's an interesting thing to see!!
I mean even the cab contest, how many entries are BAD? None. But 1 wins... not because the other entries were not good or unworthy, but because people had different tastes. Does anyone lose the Cab contest and actually feel that their cabbing ability was unappreciated?
That said, I LOVE the dophins:)!!!!