Master the Cloud 2025: Power Through the Microsoft Azure Architect (AZ-300) Challenge!

Scaling up, often referred to as vertical scaling, involves increasing the resources of a single instance to improve its performance. In the context of the question, updating a virtual machine to a larger size exemplifies this concept well. When you scale up a virtual machine, you increase its CPU, RAM, or disk space capacity, allowing it to handle more workloads or run resource-intensive applications more efficiently.

In contrast, adding more web servers to a web farm represents scaling out, which involves distributing the load across multiple instances rather than enhancing a single instance's capabilities. Similarly, adding databases and integrating new queuing services are also examples of enhancing the overall architecture rather than boosting the capabilities of an individual component. These actions are usually indicative of scaling out or adding more resources to handle increased demand rather than enhancing the performance of a single resource.