Give geographical reason : There are many factors which have hindered the growth of industries in South America.

Answer: Physical difficulties and economic and social problems have kept industrial growth in South America low.

• Physical: the Andes mountains, the dense Amazon forest and its hot wet climate, and deserts make large parts inaccessible and limit transport and settlement.
• Transport: poor road and rail network in the interior; rivers like the Amazon flow through forests away from markets.
• Capital and technology: shortage of capital, dependence on foreign investment and technology; raw materials were exported in raw form.
• Power: coal is scarce, and hydroelectric potential is not fully used.
• Market and labour: population is concentrated along coasts; low purchasing power and lack of skilled labour limit the market.
• Political instability in many countries has also discouraged investment. Because of these factors industries are concentrated only in a few areas such as south-east Brazil and around Buenos Aires.