Well, in team sports, if you're selfish or just like having all the attention, you might not work with your team and end up loosing because you weren't passing the ball or communicating with your team members, whereas if you're a real team player and cooperate with your team you have a better chance of winning.
In sports where your performing by yourself it can really help to have an optimistic personality because if you're doubting yourself you can get distracted and not perform well. Still, in individual sports you don't want to be overconfident and not be ready for mistakes you may make.
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Players need to adhere to the rules of a game. Sports instills discipline in an individual. In addition, an individual is more active and vibrant.
No. It may make you happier because you meet new friends or maybe bring out a competitive streak (which was already there).