Failure rates refer to the percentage of instances in which a product, service, or system does not perform as intended. For example, in the context of manufacturing, a failure rate might indicate how often a machine produces defective items. Understanding failure rates helps businesses identify areas for improvement and enhance overall quality. In medical studies, failure rates can indicate how often a treatment does not achieve the desired outcome. For instance, if a new drug has a failure rate of 20%, it means that 20% of patients do not respond positively to the treatment. Monitoring these rates is crucial for evaluating effectiveness and safety.