My sister has a 7 year old that she has never said no to. I'm really not being dramatic. He sleeps in her bed, won't eat dinner, gets a toy every time they go to a store. He can't go to other kid's birthday parties because he can't handle it.
Since he was born, she has put him in situations where he won't be disappointed/upset. If that means avoiding situations that kids should learn from, then that is what happens. It's really pretty sick.
In the end, the kid has no chance. Eventually he will be eaten alive by the 'real world'. Society does the same thing. The term 'bullying' is the new boogyman. I think 'bullying' and no tolerance is parallel to 'helicopter parenting'. Bullying is not someone being an A-Hole, it is physical or mental abuse. Bullying (People being dicks) doesn't stop when school is over.