Ecological theory provides explanations for exclusion or coexistence of competing species. Most theoretical works on competition dynamics that have shaped current perspectives on coexistence assume a simple life cycle. This simplification, however, may omit important realities. We present a simple two-stage structured competition model to investigate the effects of life-history characteristics on coexistence. The achievement and the stability of coexistence depend not only on competition coefficients but also on a set of life-history parameters that reflect the viability of an individual, namely, adult death rate, maturation rate, and birth rate. High individual viability is necessary for a species to persist, but it does not necessarily facilitate coexistence. Intense competition at the juvenile or adult stage may require higher or lower viability, respectively, for stable coexistence to be possible. The stability mechanism can be explained by the refuge effect of the less competitive stage, and the birth performance, which preserves the less competitive stage as a refuge. Coexistence might readily collapse if the life-history characteristics, which together constitute individual viability, change, even though two species have an inherent competitive relation conducive to stable coexistence.