Correct

Natural selection happens at the genotype level, not the individual level. Having a species that likes to combat with other individuals with, essentially, the exact same genotype, at the expense of both individuals, is often not a winning strategy.

(There are exceptions and caveats of course – e.g. competition between individuals to select the fittest ones of them to preferentially survive, or Fisher’s Principle which explains why the ratio of males to females is roughly 50:50 in most species, even though that’s often not optimal for the species as a whole).