No matter what you may think about LIV Golf, it’s fair to argue that the upstart organization has disrupted the status quo. In a sport where change is difficult and not altogether welcome, competition has compelled the long-dominant Professional Golfers Association Tour to modify its business model in order to stay at the top. For some quarters, the development may well be long in coming. No matter the timing, however, there can be no denying the manner in which the existential threat prompted otherwise reluctant protagonists to rethink the future.
What the state of golf will ultimately be is anybody’s guess. LIV started in a blaze of glory last year, successfully upending what looked to be an idyllic situation for the PGA Tour. By poaching big — and, yes, not-so-big — names, the newcomer sought to lay the groundwork for a takeover. Knowing full well the need for patience and no small measure of resources to challenge a firmly entrenched monopoly, it made sure to convey the message to all and sundry that it was not going anywhere, and that it had the wherewithal to engage in a drawn-out battle.
Fast forward to the first quarter of 2023, at it appears LIV is mired in muck halfway to its destination. Even as it managed to force PGA Tour stalwarts to do some scrambling to fend off the opposition, it remained unable to complete its mission; lawsuits continue to be unsettled, and the groundswell of fan support it was banking on has instead stayed elusive. Meanwhile, it has been hemorrhaging funds, leading it to align its subsidy-fueled operations to a more prudent financial environment. The “goodwill” it extended to marquee names who jumped ship cannot but be treated as sunk cost, but, moving forward, teams will mostly have to fend for themselves.
Significantly, PGA Tour heralds have gone so far as to acknowledge the good LIV has done insofar as improving the sport’s product is concerned. The increase in the number of so-called “designated events” featuring the best of the best in a field not subject to cuts is a response seen to appeal to followers of the sport. Beyond that, though, they’re keen on underscoring the chasm that exists between the two factions. The ideal has them both in the negotiating table. Unless and until it happens, reality will keep playing out.
Anthony L. Cuaycong has been writing Courtside since BusinessWorld introduced a Sports section in 1994. He is a consultant on strategic planning, operations and human resources management, corporate communications, and business development.
