I think white labeling is great. Unless you are a huge company, there's no way anyone can do everything in-house. White labeling allows flexibility. If your workload increases, the white label company should have the staff to do increased workload with no hiring on your end. If your workload decreases, you decrease their services and no firing on your side. Also you can completely fire the white label. This is all extremely difficult if you have employees. So, for example, if you are in the website development industry, you can't go out and hire 10 website developer employees by next week, but you can get that many by using white label services.
As far as I'm concerned, being a 100% white label company is great. Outsource everything is always my goal.
How's that? 🙂