I'd like to undersand the size of the margin (markup) that offshore
development companies (specifically Russian or Ukrainian ones) make on
the programmers that they hire out. E.g. they pay a salary, and they
charge a fee. Putting all their fixed and variable costs together,
what is a fair margin for them to charge?

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Clarification of Question by edude-ga on 28 Mar 2006 16:59 PST

I'm looking for what actual margins.markups that Russian and Ukrainian
development compaines are typically charging.

That means I'd like to compare what the actual salary is for c++ and
java programmers compared to the rates that are charged for their
services. I think averages as well as ranges would be helpful.

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Clarification of Question by edude-ga on 11 Apr 2006 03:13 PDT

maxed to $200.

What is fair is what the market place will allow them to charge.  If
the customer is satisfied with the product and the price, in a free
market there is nothing unfair about the supplier charging what he can
get  - and maybe earning a giant margin.

If you want to know the actual margins that Russian or Ukrainian
development companies are earning, that is a different question  (and
probably difficult to answer).

Post a clarification or comment if that is what you are interested.
Cheers, Myoarin

I clarified the question, and doubled the price to $60.