There is some truths in what your saying, but I disagree and want to point out a few things:
1. Many martial artists put way too much stock in what others think. Pressure test what you know, spar, roll with the best people you can find and improve upon your weaknesses, that is all you need to do. Also, stop worrying about someone disputing you. The ones who usually try to dispute are the tools who suck themselves and try to bring others down to make themselves feel better, most high level players I have trained with do not care about bringing someone down, but learning and bettering themselves. If you do this, the fruits of your labor will be much better.
2. Kung Fu guys compete in San Shou and Shuai Jiao, as well as different kickboxing rulesets (American, Internation, Muay Thai) and some even do MMA!
Seriously man, the pressure test BS for all Kung Fu is old. Form fairies and LARPers are what they are, good fighters from Kung Fu styles are what they are. This is not just Kung Fu, this is all styles of martial arts.
3. I agree with you that performance arts or those not suited for combat that are more for exercise are good so long as the person practicing these knows this. The idiot who does nothing but forms for 20 years and still thinks he can fight is deluded, sad, and is a nothing and nobody on the grand scale of what Kung Fu is and what it encompasses.
As far as being a slave to TCMA, one can be a slave to anything if you let it turn you into something you are not. Do what makes you happy, train how you wish, and worry about what you want out of Kung Fu. If you do this you will not be a slave to anything, and also you won't be a slave to every douchebag in the world that says your art sucks.
Feed the dragon so that is will prosper and grow!!