I'm not much for competitions, though the few times I've entered my stuff in local shows I've done OK. To each his own, I suppose.
As for detail madness... I've got the bug in a big way. I've already spent an extra maybe $400.00 on my current project (a 1/200 Missour) and the aftermarket has hit new levels of insane for this kit. I know some may see AM stuff as "cheating" but trust me... It usually isn't. AM is a quick way to triple or quadruple the complexity of a build and make builds last years instead of months, especially with ships! Nor does it eliminate the possiblity of scratcbuilding stuff... if nothing, it adds to the load.
I just got a bunch of Veteran Models Bofor quad mounts... almost 40 parts per gun and the gun itself fits nicely within the diameter of a quarter. I hate to tell you how long it takes to build just one.
http://i.imgur.com/rBZT33V.jpg
http://i.imgur.com/Zl4TyhE.jpg
The bottom right gun is an "out of the box" (and ultimately VERY inaccurate) kit bofors for comparison.
Once you've gone down the superdetail rabbit hole you can't come back!
I know I'm crazy but this level of detail is very satisfying and fun for me. Along with getting accurate Bofors I spent a fair amount of time researching the real thing online; now I know more or less how they work too. For me, superdetailing is a learning experience... not only to acquire the skills to play with the scale stuff but to also learn more about the history and technology of their 1/1 counterparts.
Anyway, my rule of thumb for modeling is: do what makes you happy!
Don't build for others, build for yourself... however simple or complicated that may be. That's the nice thing about models... they cover a wide spectrum of subjects and difficulties. If modeling is purely a competitive sport for you, you WILL get frustrated and burned out as there will ALWAYS be somebody better than you and/or with more money/time/experience/dexterity/ better tools/ect. to devote to building than you can muster. Thanks to the internet, you are now competing with the whole world instead of the builders in you region.
Remember, if you aren't having fun, it isn't a hobby!