contend with
What does "contend with" mean in this context? "conflict" or "interaction"?

The Skulptur Projekte Munster, by contrast, turns the entire city into the art house itself. Unlike the discrete museum, the
artworks on display ‘contend’ in a very direct way with the city itself. They also contend with one another; to a degree all these works are implicitly defined, via the common space of the city, by their relationship to each other.

Question

contend with
What does "contend with" mean in this context? "conflict" or "interaction"?

The Skulptur Projekte Munster, by contrast, turns the entire city into the art house itself. Unlike the discrete museum, the
artworks on display ‘contend’ in a very direct way with the city itself. They also contend with one another; to a degree all these works are implicitly defined, via the common space of the city, by their relationship to each other.

Answer

It probably means "interacts" but the article is not written by a native English speaker so, I suspect, the author is trying to show how erudite he is rather than communicate anything useful to the reader ;-)

By the way, he/she should have made it "contends"

Answer

I think "contend" in this context means "compete", probably "compete for attention from the viewers". I do not see how either conflict or interaction can be inferred from the sentences containing the word "contend". 
I have to disagree with Bill on the grammar. (Sorry, Bill!)
The artworks (on display) contend, etc.  Correct.
They also contend, etc. Also correct.
(A single artwork (or it) contends, yes, but "artworks" in the given text is clearly plural. Am I missing something?)

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