"Many parents don't want their son playing for a team that has very strong players at their position."
That is ridiculous, and given the 125 kids that showed up to the PT 2019 tryout, proves you wrong. There are teams for every ability, and most kids want to play for the best. Kids dont want to play on weaker teams and lose, even if they stand out.
"I think practicing and playing in the toughest most competitive environment is best for a child to learn how to compete and play hard all the time."
Depends on the kid and unless you are a child psychologist, irrelevant.
It's ridiculous that parents would be so manipulative, but its a fact that many parents are looking for a team that their son can be the standout.
I'm not a psychologist, just a long time coach and father of 4 boys. I have always encouraged my kids to be in a competitive environment--in an out of sports.