The price differences between software development and consulting with offshore, onshore, and nearshore teams primarily hinge on labor costs and economic conditions. Offshore teams offer the lowest rates due to lower living costs and salaries but may face challenges like time zone differences and potential cultural and language barriers. Onshore teams, located within the same country as the client, are the most expensive due to higher wages and operational costs but provide ease of communication and cultural alignment. Situated in nearby countries with similar time zones, nearshore teams offer a middle ground in terms of cost, blending the affordability of offshore teams with the convenience and cultural proximity of onshore teams.