An engineer is investigating potential performance issues in a hypervisor platform. When comparing the allocated versus actual resources, the engineer notices the platform is oversubscribed. Which of

Dynamic allocation is a resource management feature that adjusts VM resource assignments based on demand; it is a technique that can help manage oversubscription, not a cause of performance issues.

Oversubscription occurs when the total virtual resources (CPU, memory, storage I/O) allocated to all VMs exceed the physical capacity of the host. When actual workload demand pushes those VMs to use their allocations concurrently, the hypervisor cannot satisfy all requests, causing queuing, throttling, and measurable performance degradation.

Ballooning is a hypervisor memory-reclamation technique that inflates a balloon driver inside a VM to recover pages when the host is under memory pressure; it is a consequence of oversubscription, not the root cause.

Transparent page sharing deduplicates identical memory pages across VMs to improve effective memory capacity, which is a beneficial optimization rather than a cause of performance problems.