The aim of their space program was to beat the Americans to the Moon. Everything the Soviets were doing in the 1960s was directed towards this goal. They failed because they were technologically backwards compared to the US. The Soviets didn't have the technical know-how or industrial capability to build LOX/LH engines. The N-1 design was inferior to the Saturn V and exploded on its launch pad, killing dozens of technicians and scientists. Its tanks were separate from the rocket's body whereas the Saturn V's tanks were an integral part of the rocket's structure. This feature alone increased the weight of the rocket by over 10,000 lbs. In the end the Soviets saw that even if the N-1 could be made to fly, it would be unable to put a useful sized payload onto the lunar surface.

The USSR was in many respects a 3rd World country wasting vast amounts of resources on a massive military and space program, when it should've been putting those resources into developing its economy and infrastructure. It allowed its grasp to exceed its reach and collapsed as a result of its shortsightedness.