Per CC-CEDICT: 'to challenge an established martial arts school to a fight — to prove one's skills or gain reputation.' Originally a literal practice in Republican-era
武林 culture: a wandering boxer would
踢 (kick) the door of a
馆 (school hall) to demand a duel. The figurative sense — challenging anyone established on their own turf — now dominates: rappers
踢馆 in battles, streamers
踢馆 each other's lives, business rivals
踢馆 entrenched markets.