A company has an on-premises MySQL database that handles transactional data.

The key requirements are (1) MySQL compatibility for existing applications and (2) the ability to scale automatically during demand spikes for a transactional workload. Amazon Aurora (MySQL-compatible) satisfies compatibility while providing managed database capabilities designed for high performance and scalability. Using AWS Database Migration Service (DMS) is operationally efficient for migration because it supports moving data from on-premises databases to AWS with options for continuous replication to minimize downtime, which is commonly required for transactional systems.

Turning on Aurora Auto Scaling (for Aurora Replicas) allows the database tier to automatically add or remove read replicas based on demand, which helps absorb increased read traffic without manual intervention. This meets the “scale automatically” requirement more directly than simply scaling storage. (Write scaling is addressed through Aurora’s architecture and capacity planning; for many workloads, scaling reads is the dominant elasticity need.)

Option A only mentions configuring storage scaling, which does not address compute scaling during load increases; RDS storage autoscaling helps prevent running out of space but does not automatically add compute capacity in response to demand. Option B is incorrect because Amazon Redshift is a data warehouse designed for analytics/OLAP, not a transactional MySQL OLTP replacement, and mysqldump to Redshift does not preserve application compatibility. Option D changes the data model by migrating to DynamoDB, which is not MySQL-compatible and would require application redesign—violating the compatibility requirement.

Therefore, C best satisfies compatibility and automatic scaling needs while using managed services that reduce operational overhead during and after migration.