Honestly, my parenting style is assess the situation and determine risk. If my kid has a fall, well shit thats on me, and he usually gets an ice cream (or strawberries/mango cause he thinks they are better??). I do this regardless if its playground equipment, a tree or whatever, its my job as the parent to make sure my kid is safe. Dreamworlds (and any amusement park or company) job is to make sure my kid is safe in situations that I can't control (like operating a ride) or situations that come with an assumption of safety (like walking on a flat obvious path).
The world shouldn't be rubber mats and rounded edges. Take responsibility and create boundaries. Peer pressure is not an acceptable excuse.