What do you mean punnish lfr? Whats the punnish?
You shouldnt be able to get the best loot from the easiest content in the game. I dont see how thats punnishing anyone.
You make some really bad comparrisons btw. Two guilds competing in a world first race isnt competing together, they are competing against eachother.
Same with pvp'ers. There is literally no sense to be found here.