What defines On-Line Transaction Processing (OLTP)?

On-Line Transaction Processing (OLTP) is characterized by the immediate processing of each transaction, which includes real-time updates to the database records. This type of system is designed to handle a high volume of short online transactions, ensuring that each transaction is processed as quickly as it occurs. Whenever a transaction is performed, such as adding a new order or updating inventory, the database is immediately updated to reflect these changes. This capability allows for real-time data availability, essential in environments where timely access to data is critical, such as banking systems, retail point-of-sale systems, and other business applications that respond to user activity dynamically.

In contrast, other options relate to different data processing paradigms. Batch processing involves collecting and processing transactions over a period, which does not align with the real-time requirements of OLTP. Large-scale data analytics typically refer to Online Analytical Processing (OLAP), which focuses on complex queries and aggregations rather than immediate transaction processing. The storage of historical data is also more aligned with OLAP systems designed for analysis rather than the real-time transaction focus of OLTP.