Dunga's team were knocked out in the group stages in the United States, albeit in controversial circumstances after a Raul Ruidiaz handball goal sealed a 1-0 win for Peru on Sunday.
In his second stint at the helm, Dunga was sacked after the defeat – but three-time World Cup winner Pele believes the 52-year-old has been harshly criticised.
"I don't think it's fair for all the critics that are talking badly about Dunga, who has nothing to do with this. Dunga did his job," he said.
"Unfortunately, the Brazilian national team didn't have time to train and they changed the whole team every tournament.
"So it's not Dunga's fault."
Tite is set to be named as Dunga's successor, having guided Corinthians to two Campeonato Brasileiro crowns.
Pele backed the 55-year-old to be a success, saying: "I think Tite is the coach of the moment without a doubt and he is capable of doing this.
"One thing that deserves attention is that Dunga doesn't have anything to do with the performance of the Brazilian team. It's because they didn't have time to train. I think Tite is deserving of the job."