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This isn't a straight-up fight. Both teams are given the objective of eliminating every opposing member of the opposite team. The Illuminati has its base in New York in Stark's tower. While the Cabal has its base in Latveria in Doom's castle. Which team would succeed? Assume both teams work well together.

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Illuminati: Iron Man, Reed Richards, Professor X, Dr. Strange, and Black Bolt

vs

Cabal: Norman Osborn, Dr. Doom, Emma Frost, Loki, and The Hood

Doom and Loki make this really easy for their team. Strange is half the man he used to be.

Considering the Illuminati at the time were before WWH!
Strange in the day feeds the Cabal their worst nightmares. Dr Doom unfazed.
While Reed blasts Loki with Celestrial kill gun.
Ironman kills Osborn.
While Prof X handles melts Namors brain and holds Emma.
Emma reverts to diamond form while Blackbolt messes her up. Doom holds with shields depleted and tries magic but Strange matches while Tony locks hands.
Team then kills Doom.
Loki returns pissed and the combined might of the team scares him off.

gems

I'm not really asking which team could beat the other in a straightup fight.

I'm really asking which team is more competent?

Originally posted by psycho gundam
gems

That they're not willing to use. If they're willing and allowed to use them in this scenario then I'll give them a win.

Obviously, Cabal.
Illuminati f%cked up everything they ever tried to do.

The stipulation that 'the teams work well together'' pretty much takes out the Cabal's only weakness. They would take this.

Originally posted by Survivor19
Obviously, Cabal.
Illuminati f%cked up everything they ever tried to do.

Cabal didn't?

Cabal is mor pro-active and less constrained, they would hold the world under control before the illuminatti if they all had the same goal and worked well toghether.