I had a C-section at 38 weeks (two weeks ago) and my baby was fully ready for the world at 8 lbs 2 oz. Size was our reason for scheduling the c-section, but my OB doesn’t let T1Ds go beyond week 38 regardless. (It was going to be either induction or c-section.)
My perinatalogist preferred that I wait until week 39, but I was anxious. When I asked what his reservations were about earlier or later, he just indicated that it was a risk assessment issue. The farther in you go, the greater the risk for (a) pre-eclampsia, (b) a large baby, © the placenta drying up and not providing proper nourishment (happens with diabetics). The earlier we went, the big issue was going to be lung maturity. As her lungs and diaphragm looked great on the sonogram, I was comfortable going with week 38.
If I were you, I’d be open with my OB and ask what his or her assessment of your risks is. If you’re a candidate for pre-e or if your baby is trending large, I would go ahead and do the induction as suggested. In the end, I believe that the birth experience matters far less than your baby’s or your health at delivery.