I have to say that last year there were NO entries in the "Layer Cake" division and very few competitors at all in the baked goods division. Our fair is very small, so I don't think that I'll have much competition this year...fingers crossed. Never the less, I do want to make something really good, moist, excellent crumb, can stand up to being on display, etc. I'm putting the challenge more on myself, then against the other possible competitors.
My Dau gets into it too, so we have fun doing it together. We may enter a couple of other categories too s/a biscuits, cookies, pies, etc. They also have a big gardener's section, but I have no idea what will be ready by then in the garden. My DH makes great beer and hard sparkling cider. The kids and I have really been pushing him to enter the "Home Brew" categories. Personally, I think that his cider is so good...it's like drinking Champagne. His beer is really good too!
I will not enter the quilting competition. There are 3 ladies that are amazing quilters and they enter every year. No way am I up to their level, but I do enjoy looking at all of their entries.