I personally do not think it has any bering on the rate, you charge what the market can bear. Outsourcing was supposed to be the cure to the expensive American and European work force by leveling the playing field. What no one accounted for was there are only so many people in the world that are even interested in doing jobs that are technical in nature. That amount of people is a very small segment of the population so even with Eastern Europe, India and China now supplying the global technical work force there are not enough skilled people to go around. While the market corrected itself, it slowed wage growth, but those days are over and you should charge accordingly. A lot of people in emerging markets like India think they have to undercut US prices to compete which is just no longer a reality, the reality is there are not enough hands to reap the harvest and your leaving money on the table if your trying to compete based on price.
