As far as Madison "winning" a title, I thought it said that happened because she was the only one competing in her age group. But maybe I was mistaken.
Whether Madison "wanted" to do the pageant or her mom signed her up is irrelevant. The mom was encouraging her to do it, and I feel that is a mistake. Madison does not have what it takes to be successful in pageants. Put her in an activity she has a chance to excel at... not one in which she will be a perpetual loser striving to achieve goals that, for her, are unattainable.
Pageants only help your self esteem if you're winning them. When you're constantly the obvious "bottom of the barrel" contestant, you're not getting that confidence and praise. You're feeling shame and dissatisfaction with yourself.
She doesn't have the looks, the personality, or the talent to be a beauty queen. Unless she's profoundly stupid, she has to be aware that she's not in the same league as the other girls. And, judging by how uncomfortable she looked, I think she WAS aware of it. She probably just feels pressured to do pageants because she knows her mom is hell bent on living vicariously through her.