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This is the direct answer to the user's query.
This provides the necessary context for the 'moral victory' that concludes the film.
This explains the long-term outcome for the characters following the competition.
In the 2003 film 'School of Rock', the band School of Rock does not win the official Battle of the Bands competition; the first-place prize is awarded to the band No Vacancy (Dewey Finn's former band). However, the audience is so moved by School of Rock's performance of the original song 'Teacher's Pet' that they demand an encore. The band returns to the stage to perform 'It's a Long Way to the Top (If You Wanna Rock 'n' Roll)', resulting in a moral victory and the eventual creation of an after-school rock program.