Is kung fu applicable in a genuine conflict?
A typical conversation rarely lasts longer than 40 seconds in a real-world setting. In boxing, professional rounds last three minutes, but amateur categories last two minutes. You must do really strenuous routines if you want to last for these two minutes. When I was young, I worked three hours a day.
The sparring rounds in a workout can last up to 4 minutes, but this is only so you can leave him in time for a 2 minute round.
I make every effort in this preamble to demonstrate how the struggle is prolonged.
Keeping this in mind, anyone who practices a martial art or a combat sport of any kind has many advantages over those who do not. This does not imply that victory is assured. But it is to be expected that a Kung Fu practitioner who knows how to deflect a blow, is accustomed to sparring (even if it is not realistic sparring), spends a few minutes fighting, has some muscles, and has good elasticity and reflexes already has a significant advantage over an opponent who has little to no fighting experience.
On the other hand, street fighting is very dissimilar from practice in a dojo. Things will get really heated if the opponent has enough intent and aggression.
You cannot be trained for the streets by any martial art unless you are specifically trained for that purpose. Even if it did, a street fight is quite uncertain. You never know when another attacker will enter, when someone will grab a piece of pau, when the terrain will be unfavorable, or with whom you are lining up.
I've never heard of a coach telling their team:
If someone offends you, call for a fight.
People who have trained in combat sports typically advise against getting into fights at any costs. And if it's not possible, move quickly and run.