set: to present as a model of good or bad behaviour (esp in the phrases set an example, set a good example, set a bad example )

But in your case it is 'standard' and in my opinion it is more likely to be positive. Within the context that you have explained, I think it means that the competitor's performance was of a high standard at the beginning of the competition. Hence the 'early standard.'

--------------------------------------------------
Note added at 6 days (2012-02-04 21:13:54 GMT) Post-grading
--------------------------------------------------

Thank you