Evaluate the necessity of establishing industries in backward areas?

Industry in backward areas can become very helpful to revitalize the economy and improve the standard of living of the population with the provision of jobs, salaries, and other associated economic activities. So in this sense, establishing industry in backward areas would be necessary and very helpful as well.

However, there is the issue of whether industry can survive in a backward area, or if it can be established there in the first place. Backward areas are precisely backward because they lack certain socioeconomic indicators that attract dynamic economies, like the education level of the population, or economies of scale. For this reason, it is likely that many incentives, like tax incentives, would be needed for an industry to establish itself in a backward area in first place.

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