Which cloud concept describes the ability of cloud providers to offer lower prices because they purchase hardware in massive quantities?

Answer options:

Elasticity

High availability

Economies of scale

Agility

How to approach this question

Identify the economic principle that benefits large-scale operations.

Full Answer

C.Economies of scale✓ Correct

Cloud providers like Microsoft can purchase hardware at a massive scale, reducing the cost per unit. They pass these savings on to customers, a concept known as economies of scale.

Common mistakes

Confusing economies of scale with elasticity or scalability.

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Practice the full Azure Fundamentals AZ-900 Practice Exam 4

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Which cloud concept describes the ability of cloud providers to offer lower prices because they purchase hardware in massive quantities?

How to approach this question

Full Answer

Common mistakes

Practice the full Azure Fundamentals AZ-900 Practice Exam 4

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