if the competition is healthy, this can lead to both parties to better themselves.

Competing can speed up the march of progress. Like war for example. Microwaves, G.P.S and computers would not exist without ww2 or any Jet aircraft. Because no ME262 or Gloster Meteor would exist without the war. No cold war means no space race, no rockets, No M.R.I machines and no nuclear energy.

Can turn unhealthy and creates unnecessary conflict between each other.

Cooperation means sometimes you're stuck with some unproductive members. Like the Euro currency for example. No matter how hard Germany and France works, Euro's value will still drop because of Greece's debt.

develop understanding for one another and creates less conflict

Combined wits and workforce can help make working faster.

more members = more perspectives. And adaptation is easier

Work gets done consistently.

Cooperation makes interdependence in society healthier and allows the inclusion of everybody in the society.

Process may be slow depending on how the people in the group works.

competing can come at a cost. Needless destruction, distrust and sabotage can occur when one side wins and the other side loses.

Competing is wasteful. To stop the other party from advancing, one would have to use extra resources. Thus wasting time, energy and wits that could be used elsewhere.

allows for specialization, Because cooperation shares workload. Thus one can focus energy on a single task without spreading energy around.

No different opinions. No need for adapting. One can focus on one's own needs instead of adapting for others.

competing means no specialization. And one has to spread energy to various tasks. Like the U.K in WW2 for example. Without imports, they had to make everything. Having to spread energy.

Co dependence can also be a liability. When the supply chain is broken and one member gets withdrawn in team, dependent members can disrupted.

If parties have to share some kind of resource, they will need more of it. And this will breed conflict.

No sharing. One can have all available resources.