For managing a very high traffic website you will definitely tuned for Dedicated server as it is suitable for handling heavy load on your website.But as far as management is concerned many companies go for 'Managed Hosting'.
Its natural that this question may arise in our minds that'What is the difference between Dedicated Hosting and Managed Hosting'?
A dedicated hosting solution you are given your own private server and have complete control over its use. That is why dedicated servers are capable of handling too many visitors of a website.However you are responsible to manage that server yourself. Some of the issues you will deal with include selection of hardware and operating systems, choosing applications, dealing with security issues, backing up your data, monitoring for up-time and lots more.
Managed hosting is a gateway for dedicated hosting. You not only have your own dedicated server, but the Managed Host provides all or part of the management, maintenance, and monitoring needs for you.
Cost of Managed Hosting:
To be frank, managed hosting costs much then other hosting.But this cost can be amortized through high quality maintenance.When compared to the cost of having full-time IT staffing in-house managed hosting becomes very cost effective. One benefit is that the outsourcing can be scaled to your particular needs. The managed host can provide a little or a lot depending on your growth and traffic.