It is, I think, a similar formula as what needs to apply to other “homegrown” industries. For example, organic health foods, green building materials, hand-made goods (e.g., Etsy). All of those areas have been undermined and/or currently are undermined by regulations designed around past industries.
Altogether, it’s interesting to recognize that the music business is heavily regulated through copyright laws, technology laws like the DMCA, the sanctioning of performance royalty organizations and FCC regulations on broadcasters.
One escape from all of that is staying small, which is ideal for boutiques and DIYers (e.g., expensive solar panels and DIY compost bins, respectively). And, as a market that is ultimately accepted into the mainstream regulations, I think it’s quantity that makes the difference: so many people being interested in the boutique and DIY products that the very definition of mainstream has to change.