
Every photo competition I've seen there's been flaws with. C4 ran a national millenium one, and they've just run that 'Picture This' competition in the UK, both of which were widely panned for having a jury so intent on 'Turner Prize-esque' high art mentality that their choices were seen by a high percentage of those interetd or entered as skewed.
And every camera club I've ever seen has had some head honcho who everyone either fears like he's a thirs world dictator or brown nose so much, that any judging panel has had a distinct tint in his or her favour...
I've seen the World Press Phot exhibition a few times now which is essentially just a competition but noone goes there to see if they measure up, they go to see people good at their craft show the world's stories in pictures.
I think competitions have their place but I really don't think you can use them as a defining rule...