Data can be stored in various ways. Traditionally, we store data in files or databases. Storing data in files does not require use of an application such as a DBMS to input and retrieve data because the application uses file streams directly. However, when data is stored in a database, the application connects to and communicates with the database via a DBMS. This element provides some benefits but also imposes costs.

Files and databases each provide some benefits and impose drawbacks. Identify a situation where you believe that a file-oriented solution is appropriate and one where a DBMS is the better choice. Explain your reasoning.