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Poverty: poverty hinders investment an reduces people purchasing power
Poor transport systems: Brazilian road to rural areas are impassable during the rains. This causes under exploitation and under utilization of natural resources in some regions hindering industrial development in those regions
Huge closed hinterland: the thick amazon forest in the north and vast plains in the south have not been fully penetrated. Lack of transport connection has led to little or no economic exploitation in these regions of high potential
Huge foreign debt: the country has a huge foreign debt hence a lot of income is used in servicing the debt instead of investment in industrial development
Stiff competition: the country’s products face stiff competition from other industrialized countries such as USA, Britain, France and Germany
Inadequate technology: Brazil’s technology is still at a low level. This has led to ineffective exploitation of her rich natural resources
Dana05 answered the question on June 14, 2019 at 11:53
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