I agree with you there. We in the west can not compete with companies in India / China in terms of cost.
Some people will take that step in order to keep costs down but most will not.
I guess if you keep on promoting yourself you will slowly but surely get a few western clients who if happy with your work will keep coming back time and time again.
It's a case of getting your foot in the door.
I'm trying to promote my business over seas and it's not easy. Specially when I'm in the Euro zone
But I'm doing just fine with my Irish clients.
Cian.