Definetly you need setting if you want a great course. You can't have a nice site if you have power cables across it and it will never be great. Motorways, factories even housing are all bad views. Mountains, valleys, rocks, coastline are the desires.
You can't make a setting. You can make the site. Obs its best if you got both.
I noted in GETTING TO 18 that there was a time early in my career when every site I looked at had power lines going across it: Quail Crossing and Riverfont both have them, but so did a few others I wound up not building. But then things changed for the better!
However I would argue that places like Winged Foot and Oakmont are more about site than setting. Pine Valley does not look outside itself, either. Even the Scottish links do not make much of vistas etc., the interest of the course is
all about the contours within, and of course the effect of the wind.
Whereas, there are hardly any great courses where the land is all re-shaped. IN THEORY, it could be done, but in practice, it's much harder than architects will admit.