QUOTE(SteveHopwood @ Dec 6 2005, 12:21 AM)

It depends on whether you enjoy competitions.
If you like them, take part.
If not, then steer clear of them.
Steve

I totally agree.
My girl doesn't like exams but she loves performing. So she chooses to do festivals instead of exams/grades. It gives her total freedom in terms of repertoire (any piece at all so long as it's within 3 minutes), pace (any number of piece/s or category/ies depending on how fast/slow one learns) and the audience that she likes rather than the serious-looking examiner.
Music shouldn't be a competition though but try telling that to kids and maybe, teenagers like you, too - it doesn't register, not quite yet.

We now tell her that it's her concert - play your heart out! - and if you win? It's an added bonus but the practical value lies more in the adjudicator's (usually detailed) comments and recommendations. Yes, you can grow as a musician if the adjudicator is a good one, musically and technically.
It's also good for dealing with nerves.
Finally, there is a guarantee of no technical failure as in an exam - for a child and a rather nervous/shy adult learner, this may be a big deal in terms of his/her confidence and the positive and encouraging remarks the adjudicator feels bound to give however the performance went!

Doing exams and festival competitions simultaneously? I would agree with MAMD above that it's more like a mock exam - very handy!
Tess