Yep. If we are going to compete, we should be competing with either some abstract version of our alternative self or competing with someone of similar financial and psychological circumstances, and surely there are not going to be people with exactly our own same circumstances which is another reason to create standards that are individually tailored.
I feel there is even no need to be in competition with anyone; it's always right for someone to do things according to their capability.
Everyone is faced with different circumstances, and if Mr. A is actually in competition with someone who is doing better than him (or in same financial level with him) , he could end up hurting himself because he is only doing things to show off or to make others feel he is equal (or better) to them, while he is secretly putting himself under emotional stress.
Why I said we are faced with different circumstances is because someone can feel that because they are receiving the same amount of salary as their friends, they can be in competition with that person, while the person they want to be in competition with has a very minor responsibility and needs while they themselves have more responsibility.
That's the reason why I feel it's not advised to be in such a competition.