In Los Angeles, regulations have been enacted that has forced the porn industry to have their male actors wear condoms.  This regulation has caused the amount of permits filed in the county to drop close to 95%. “Larger filmmakers who make their movies on closed sets and not in private residences are exempt from the measure.”  The law was supposed to reduce STDs among porn actors but if the larger companies are exempt, it seems like this law is an attempt for larger porn companies to create greater barriers to entry.

Is this a strategy that is ethical?  I don’t believe so.  Larger companies should not be padding the pockets of politicians in order to attempt to give themselves a competitive advantage.  It is akin to the 2008 financial crisis when government lobbying created a large amount of deregulation, which ended up causing a global financial catastrophe.

Instead of focusing on undemocratic ways of sustaining an advantage in the market, companies should focus that energy on creating better value propositions and sustaining advantages by attracting customers.  If companies push away start-ups, it causes a stunt in the growth of innovation of an industry, which is bad for all the players in the market.

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Source:

http://www.sacbee.com/2013/11/15/5915467/after-condom-law-la-county-porn.html