An act that while justifiable will ultimately result in embarrassment. The phrase is derived from the inevitable embarrassment that results from beating the shit out of a midget that is messing with your woman/insulting your honor. To allow him to continue will only lead to the shame of being hassled by a three foot tall circus performer, but knocking his teeth out will lead to looks of shock and disgust from passers by who did not witness the little person's earlier transgression.
So Mr. President, how goes the invasion of that third world nation?
Not good, i really punched a midget on that one.