"Yesterday was a pretty bleak day for golf course values in the UK. The value of a UK golf course is now only that of the land, buildings and machinery. The law as of yesterday would mean if you deem yourself commercial you basically set up to trade -14% to your competitor so no one in the right mind is going to buy a business like that, so the buisness value in a valuation is unlikely to be greater than NAV."
Adrian -
There is no doubt you know the UK golf market far, far, far better than I do. I certainly appreciate that commercial golf is your livelihood. I understand your concern. However, I do think you are overreacting to what has happened.
Golf clubs and golf courses in the UK and around the world cover a wide variety of market segments and appeal to a wide variety of customers. I doubt the pricing competition you envision will materialize, at least in certain segments of the market.
Do you will think Troon will lower their visitor green fees to provide stiffer competition to Turnberry? Will Nairn do the same vs. Castle Stuart? Will Cruden Bay do the same vs. Trump Scotland?
In the world of golf, "all things being equal" rarely are. In my experience, golfers chose where to play based on a variety of factors. Certainly cost is one of them. But so are convenience, course conditioning, pace of play, staff attitude, status, reputation, etc.
I will be very surprised if the price wars/pressures you envision materialize.
DT
P.S. While I am not a student of economic theory, I am a keen observer of economic outcomes. Economics is known as "the dismal science" for a very good reason.