Research has focused on knowledge sharing in educational institutions; however, limited attention has been given to knowledge hiding in higher education institutions (HEIs) in terms of academic competition. The present study proposed to evaluate the role of peer ostracism and knowledge hiding in Chinese higher education institutions. The research examined the role of altruism in moderating competitiveness toward international students. Data was collected from Chinese students through a survey-based approach. A sample of 350 respondents was evaluated by applying statistical techniques, including structural equation modelling. The statistical analysis revealed that peer ostracism has a significant influence on academic competition in higher education institutions. However, it was found that knowledge hiding did not have a significant effect on academic competition. In terms of the indirect effect, altruism was revealed to have no significant moderation between the dependent and independent variables. The study intends to contribute to the existing literature. In addition, the study provides practical implications for higher education institutions and policymakers for promoting an environment of inclusivity and knowledge sharing. The study concludes by addressing the limitations and offering recommendations for future research.