Question

For smaller companies, the factor that is most often cited as a positive aspect of cloud-based ERP systems is:

Options:
A. Advanced customization capabilities
B. Centralized data storage
C. Reduced upfront infrastructure costs
D. Complex reporting features

Answer 1

The most cited positive aspect of cloud-based ERP systems for smaller companies is the reduction of upfront infrastructure costs. The correct option is (C).

Step-by-step explanation:

For smaller companies, the factor that is most often cited as a positive aspect of cloud-based ERP systems is Reduced upfront infrastructure costs.

Unlike traditional on-premise ERP solutions that require substantial investment in hardware, software, and staffing, cloud-based ERP systems are typically offered as a service (SaaS) with a pay-as-you-go pricing model.

This significantly lowers the entry barrier for small businesses by minimizing the initial capital expenditures and allowing them to benefit from advanced ERP system capabilities without the need for extensive IT resources.