It helps me redefine the concepts.
So to argue a competition is harder than self defence based on worst possible outcome doesn't really work.
Tried it at you get a brick wall.
Defining the idea by preparation has legs. Because people who compete have generally spent much more time and effort than people who train for self defence.
If self defence is worse. And you are responsible for the outcome of these encounters it seems to me to be impossible to justify.
It shows something in that method is wrong.
Okay, one last try, then. If I don't see us making progress here, I can't see any value in continuing this line of discussion.
The key piece is this one, IMO: "people who compete have generally spent much more time and effort than people who train for self defence".
Again, this is generally true where you're talking about someone whose focus is competition (rather than the martial artist who simply chooses to compete on occasion, where it may or may not be true). And being able to compete essentially requires this (since other competitors will be doing it). There are methods of self-defense that are effective without requiring the same level of fitness (though the higher levels of fitness are obviously of benefit there, as well).
You're assuming this is a problem with the program. What I'm asserting is that it's the point of the program. If I were running a full-time school, I could add a LOT more fitness into the program (higher intensity, training more hours per week, etc.). But that wouldn't serve the people who have made the decision to spend a few hours a week (usually 3-5) to improve their ability to defend themselves. That's who I help, mostly. They won't get much help from training for competition against people who spend 10 hours a week training (sort of a minimum for the competitive MMA folks I've talked with), because they'd be overwhelmed every time. I teach them methods that work, through training methods that have lower intensity most of the time (to help avoid injury - remember, less active people). Does it take longer to get to a strong defensive level? Probably. I've never measured it - that would take an enormous data collection effort - but I've assumed that an intense regimen and good competition could get people there faster.
On the other hand, I can give them starting points for defense very quickly. I teach them how to escape simple grips and do simple blocks and strikes, for instance, before I get into any of the technical material. I give them effective tools that take very little training, then graduate into other tools that take more training, all working with the level of time commitment they have.
It's not "worse". It's different, and suits a different audience. If they aren't going to commit the time and effort to get fit enough to do MMA properly, then training them for MMA with that kind of intensity is just going to get them hurt, slowing their progress and making them LESS able to defend themselves.
It's about the training fitting the needs of the person. "Optimal" training is only such if it actually fits the needs of the person training. Otherwise, it becomes "worse".