Yeah it's a fight, and hugging for long periods is sort of avoiding the fight.
I saw Sandhagan landing effective strikes while moving backwards and circling. When you have the height and reach "advantage", you usually don't want to fight in a phone booth.
Cory's problem was backing up I'm a straight line which allowed TJ to come forward and give him a nice big friendly hug each round.
I don't know. If I was in a street fight and I ended up getting way more damaged then my opponent I'd assume I lost the fight.