If your "innovation" is at risk from consumer protection regulations I question whether it's a good innovation.
Sometimes an innovation needs critical mass to work - social networks for example. LinkedIn famously got big by being extremely aggressive on how they mined your contacts. You'd get sued to the moon and back in the EU for this behaviour.
LinkedIn is big now, it has established itself and no longer needs to be that aggressive. Any European player that tried to enter the market with a less aggressive stance had no chance - they never reached that critical mass.
And to be clear, when I say suboptimal results I mean misery and death in large quantities.
Regulation are a necessary balance, otherwise the innovators become so powerful they eventually concentrate all the power and privilege and make weaker people pay for it.
Chlorofluorocarbons were an innovation for some times, then we needed regulation to save our ozone layer. Industrial wouldn't have stopped using it.
It's a fine line, constantly moving, an nobody will never be perfectly happy about it.