The tournament only has a kumite (point sparring) competition, when real-life karate tournaments would also have kata (empty hand form) or kobudo (weapon form) events.
Robby enters the All Valley Karate Tournament as an unaffiliated combatant, which might work in certain types of tournaments or brackets, but proper sponsorship and verification of abilities would be expected at this level.
While contemplating the events during the tournament, Johnny stops in front of a wall in the arena to see Kreese's picture displayed. Since Cobra Kai had previously received a lifetime ban following the events of The Karate Kid Part III due to the actions of Kreese, Terry Silver and Mike Barnes, Kreese's picture would not have been displayed in such a prominent manner.