Of course, there is no reason not to outsource certain kinds of content generation overseas. I have personally done this with sites that I am involved in (www.myhealthonline.com). The costs are obviously cheaper and the quality can be high. However, the topics need to be contrained to more technical items where cultural references are non-existent. In our case, we were looking for articles relating to health topics so there was no cultural knowledge needed, only technical knowledge and good writing skills. ContentSutra
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