Is external failure cost higher than internal failure cost in a quality control?

In quality control, external failure costs are typically higher than internal failure costs because they involve expenses incurred when defects are found after the product has been delivered to the customer. External failures can lead to warranty claims, returns, and damage to brand reputation, which can significantly impact a company's bottom line. In contrast, internal failure costs, which arise from defects identified before delivery, are generally more manageable, as they primarily involve rework or scrap. Therefore, minimizing external failures is crucial for maintaining customer satisfaction and reducing overall costs.