I assume the founders are reading this. The following is based on my experience. I obviously don't know your business, nor do I know the specifics of it. The f

I assume the founders are reading this. The following is based on my experience. I obviously don't know your business, nor do I know the specifics of it. The following has been my experience with having run a business in an emerging market for 15 years. I think you'll need to raise the $10/hour price (unless you pad the hours - which is a perfectly viable option and one that some markets are fine with). Depending on the emerging market you're outsourcing to, as you grow and start an office you'll find that salaries are lower (in the emerging market), but infrastructure is massively higher. By way of example, we pay thousands of dollars each month for a high quality phone line, plus thousands more per month per gig than we do in the US. Plus US overhead will be a large part of the cost structure. Our Cisco routers in India are way more expensive than what we pay here. Even small things like buying new drives for our servers are way more expensive, and due to power fluctuations are replaced way more frequently than we experience here. But beyond my experience, you should tap the resources of the other country's services counsel/body. For example, in India NASSCOM sets the tone for the software services market. They also (or at least they used to) publish minimum rates that a scaled business should charge. If this is relevant to your business, then I hope it helps.