If your competition is getting quantities of links and beating you while your your best content effort cannot level up... that might be what you need to do - get as many new c-block links using all means possible apart from buying links and spam (I cannot recommend those).
Article submission and directories are not my favorite activity and I do not believe in it - however there is ample evidence that sheer quantities can win.
The answer I gave you is simplified as I have not analysed your and your competitor's links in details (anchor text, authority, numbers, velocity...etc).