Controlling a competition to stop one team dominating isn't actually too bad an idea, otherwise you end up with a German or Spanish league. At the same time the competition organisers should be trying to prevent the situation where clubs fail half way through a season, causing chaos and potentially damaging other teams through defaulted payments etc. A sporting league isn't quite the same as your example because the teams enter the competitions and agree to the terms of them for the chance of winning prize money, the benefits are in both directions. FFP doesn't necessarily have to be a bad thing, it's just become something else in England and Europe due to the politics and the power some teams have (or have had).