@maxdancona,
In the show, there are the two very different ways of teaching Karate; Miagi vs. Cobra Kai. In the Karate Kid movie this was portrayed as good versus evil (although in "How I met your mother" Barney refutes this).
The show is smart in that it doesn't portray this as good versus evil. The kids in Cobra Kai (with the harsh "No Mercy" attitude) gain confidence, and grow as human beings. It is no longer "good versus evil"... it is people figuring out life.
To me, that is cool.
SPOILERS BELOW
One of my favorite characters has a deformed lip. When he joins Cobra Kai, the sensei calls him "lip". He is upset by this and tells the sensei to stop calling him that. The sensei says... give me something else to call you then, until you have something else unique about you, you will be "Lip", The kid storms out and quits in tears.
But... he comes back, with a brightly colored "Mohawk" haircut, and he falls into formation. The sensei says "why are you back, Hawk?". The kd replies "I want to learn karate, Sensei", and from then on he is called "Hawk".
It is a touching scene... and the kid blossoms after that point. He has learned not to let other people define him. It's not Miagi, but Hawk got exactly what he needed. Miagi could not have helped him. Hawk is one of the main characters and an important part of the core group.