While I think putting in an arena and letting people get their epeens out can be constructive, zones that in any way contain any types of beneficial goods or resources needs to be PvP free. Alterac Valley is the closest example of PvP that I think FF14 should entertain. As soon as you start balancing the game around PvP, however, the game is over. You lose anything original about your character as they are pigeonholed into clones of one-another to meet "balance". The only way to truly balance something is to homogenize it, and that's a road that you can play in several other games.
WoW Blackhand-US-Date of Retirement: 9/21/2010... /Sigh
Devari - 90 Rogue 85 DK Druid/Mage/Warrior 70+
FFXI - Shiva "Retired.... Or not? One more try, honest."
Desmar - 65 Sam 36 Mnk 18 Thf 12 War
FFXIV - Devari Garamond - Sargatanas 50 Paladin / Culinarian / Weaver / Armorer
Beta - Devaria Ariadne - Ultros - Pugilist