Explain how cloud computing contributes to scalability.
Cloud computing significantly contributes to scalability by allowing organizations to dynamically allocate resources based on demand. With cloud services, businesses can easily scale up or down without the need for substantial infrastructure investments. This flexibility enables companies to manage varying workloads effectively, ensuring that they can accommodate growth and change while maintaining operational efficiency. As a result, cloud computing has become an essential component for modern enterprises seeking to optimize their performance and resources.