how do less regulations help consumers?

I am a not fan of government over reaching,but I always find the concept of self regulating market a bit confusing. Greed is part of human nature, to take the path of less resistance. If one company figures out how to cut corners, the rest of the industry will follow suit. Take look at the video game industry, almost every company have season pass and micro trancesion. In today's economy, how will less regulation help the consumers and small business?