It depends on what level of system they are using for the tourney.
There are Club, City, Regional, and National Levels for divisions.
Regardless of whether it is a club, city, regional, or national open tourney, DIVISIONS are used to classify the players. COACHES and CLUB OWNERS place the players in the divisions for the comps. Coaches ALWAYS try to keep the strong players 1-2 divisions below their true level.
Players will usually compete in Singles, doubles, and team events.
IN Singles, you usually face only players within your division, but sometimes, theere isn't enough players in a division to make it worthwhile, so the director combines two divisions and uses a handicap system (2+1+1), usually it is Div 1 and Div 2 combined at a city tourney, as even in a city of 500,000 there are onnly maybe 15-20 Div 1 players and maybe 20 or so div 2 players. A Div 2 player facing a div 1 player in this case would get a 2 point handicap.
In doubles, if the players are of different levels, you add hte div of both players on both teams and subtract the difference to determine the handicap. if a Div 3 and Div 4 team (7) faces a Div 2 and Div 3 team (5), then the div 3 and Div 4 team would get a 2 point handicap (7-5=2)
In team events, the teams face off on each end of table and the team leaders each assemble the bats of the players in the playing order and together lay them on hte table one by one. 2+1+1 system is usually used for handicap. So, if a div 3 player faces a div 1 player, he would get 3 point handicap. If it is a 7 palyer team, format would be S/S/S/D/D.
In all tourneys, there is a round robin group of 3-4 players or teams. Top 2 advance to knockout stage.
Players get a certificate if they make at least teh Semifinal stage and that is always hung on hte wall of their club.
Obviously hte standard of club is weaker than standard of city in most cases, but sometimes, there are strong clubs. Regional is usually a touch stronger than city and national is the strongest.
I play Div 2 city and regional strong, but as a Div 3 national player, I am in hte bottom pack of that division.
In the National Open tourneys, to win div 4, you have to be a very strong div 2 player. The top end of the large national opens where there are 300-400 players in each division are extremely stacked with ringers way under-classified by their coaches. Unless you win a national level tourney for your division and go back to that tourney the next year or two later, coaches can usually keep getting away with keeping you in the lower division to increase your chances at winning. Since all the clubs do this, it is really dog eat dog at the top end of each division.
national Div 4 is supposed to have players in a range of USATT 1600-1900. In a larger national Open tourney, there are usually at least 15-20 ringers in Div 4 who are truely at a USATT 2200+ playing level. Even a strong Div 4 player has ZERO chance at even making it to the round of 16 in a large national open.
Our local club's ace is a Div 3 national player, but he seems to ALWAYS make it to semis or finals in every national open tourney he goes to, but since he changes the tourneys and doesn't go back to the same ones, he gets away with staying in Div 3. That dude is strong Div 2 easily. This practice is very common.
All levels of tourneys generally work the same. if you win the division and come back next tourney, teh tourney director (with the help of complaining coaches) will upgrade you to teh next higher division.
Myself, I have NEVER made it past the round of 64 in Div 4 of any national level tourney. I always seem to face the ringer who won the division real early in the knockouts. despite that, whenever I am registered properly as a Div 4 player, the director ALWAYS moves me up to Div 3 to face a quicker death. Eventually, i will get strong enough to leave my mark on the Div 3 crowd before I leave this country, but you can see generally how it works in each division.
Div 1 National players are REALLY good amature players. They are a couple levels below a semi-pro and 3 levels below a pro. These players would score an average of 7-8 points vs a real TT pro WR 50-100. The REALLY good Div 1 players are really in teh "Athelete" or "Champion" Division in a national open. These guys and gals are prime targets to be signed by a city team and get paid to train and play TT with a place to live. Yong-In is one of these strong city teams stacked with top rated semi-pros. To play in the Korean pro league, you pretty much have to be better than WR 100 or damned close to it.