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If you don't know, an "SEO competition" traditionally involves picking a specific keyword phrase or term and setting a time limit and the winner is whoever's at #1 on the finishing date. The thing is, this encourages people to "spam" and use less than ethical methods to push their way to the top of search engine listings, where it would affect businesses legitimately trading in that area.
To be honest, businesses already undertaking Search Engine Optimisation for a reasonable period of time should already be ranking (or working on ranking) for some or all of the terms they need anyway.
This is all besides the point because everybody whose knows even the slightest about SEO understands that web ranking is pretty much a meaningless metric these days. Reputable SEO companies will prioritise Return on Investment, the number of unique visitors plus bounce and conversion rates well above ranking position. Being #1 in Google means nothing at all if you are not getting a reasonable return for your investment.
Yes it still advantageous to be showing up in Google in the top half of the web page listings for your most important search terms - but the introduction of universal search, local search, personalised search images, news results, social media and different data centres presenting geo targeted results by Google and the other search engines means that search engine results can differ dramatically from PC to PC.
So how could you even determine who is truly #1 anymore if it changes from location to location and PC to PC? Well the real answer is that it's not that important to prioritise being top of the search rankings - instead good SEO practices should prioritise and target quality traffic that converts.
SEO is not solely about rankings and anybody who prioritises this metric above ROI, quality of traffic, conversions, bounce rates and unique visitors really doesn't know much about SEO in 2009.