Are women insecure around women they find beautiful?

I have a friend who said, “I don’t even look at her because she’s the only person that makes me feel insecure about myself. She’s so CUTE.” or “Gosh, she’s so beautiful and so vain.”

I thought about this and wondered, is this normal? Should we avoid people we envy to not harbor these emotions or is it purely insecurity that we need to overcome?