 In a directive, or regulation, where this principle applies, if a firm based in country A is selling into customers living in country B, they are regulated according to the laws of country B.Host state regulation is sometimes seen as hindering the single market, as firms need to be aware of 28 sets of national law.However, it is also argued that it gives better protection to consumers, who are unlikely to be aware of their rights under the laws of other EU member states.