As to promoting comradeship amongst competitors, continuous fighting is no more effective than point sparring. Both stress compliance with the rules and good sportsmanship.
Continuous sparring has evolved into “leg fighting.” It has very little blocking or hand techniques, just standing back and trying to execute more scoring kicks than the opponent. Taekwondo is known as a kicking art but there is more to Taekwondo than just kicks; hand techniques should be a integral part of your fighting repertoire. As seen in Ultimate Fighting Championship matches, a good puncher or ground fighter can beat a good kicker. Kicks are useful but we only use our arms for accomplishing tasks, our legs are primarily for movement, therefore, our arms are more versatile.
Proper point sparring techniques are not “pulled;” they are focused or controlled. The only difference between a blow that barely touches and one that knocks the opponent off his or her feet is a matter of range. When point sparring, you maintain a sparring range so techniques make light-contact. In a real fight, you merely adjust your range a few inches closer so techniques make full-contact.