Quick answer
Onshore (same country): easy communication, high cost. Nearshore (similar timezone): middle cost, workable overlap. Offshore (far): lowest cost, highest coordination tax — geography is a trade-off.
Onshore
Same country — full overlap, easy communication, highest rates; for sensitive or complex work.
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Nearshore
Nearby timezones — 4-8h overlap, mid rates, easier coordination; the compromise.
Offshore
Distant timezones — lowest rates, async-heavy coordination, management overhead; for well-specified work.
Choosing
Complexity × communication need vs cost — the harder the coordination, the closer the team should be.
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FAQ
Bottom line
Onshore (same country): easy communication, high cost. Nearshore (similar timezone): middle cost, workable overlap. Offshore (far): lowest cost, highest coordination tax — geography is a trade-off.
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