The first instance where the differences start emerging is when the time differences clash and this is when the clients and the outsourcing party realize the importance of understanding cultural differences. But not to worry, because what you cannot put right online, then you can put right by organizing cultural events offline where you can fly out on a meet-the-people tour. Cultural differences vary a lot, depending on geographical location. For example, Europe and America may rhyme, but it would be very hard for Africa and America to be compatible.
Cultural differences in the offshore outsourcing business can better be understood by the client when they do a lot of research on the country that they are outsourcing expertise from. This is imperative and should in no way be overlooked. In India, for example, it might be hard for an Indian to give bad news about failed offshore jobs right away, and the client therefore might not quite understand the bad news that will be delivered in an offhand manner, only for them to realize later that the project failed.
Another helpful thing in adjusting to cultural differences would be overcoming language barriers. In some countries, English is taught as a second or third language and therefore the client should insist on knowing what language the services provider understands best. If it is American English, they should use that. However, the best thing to do is to pay to fly out and meet the experts, study their way of life, their language and culture. This is advisable, especially if you will be in business with them for a long time. As for payment, offshore banking is handy.