They are largely responding to the damand for lower-cost labor.  Most people shop on PRICE, not on COST/VALUE, and the guys that provide great service have to charge too much to compete, at least on the low end.  Providing good customer service requires more time and attention, and that costs MONEY.

Ask yourself this: if you're having work done in your house, for example, and you call around, are you calling around for a low PRICE, or to find out who does the best WORK?

-Troy