Could anyone please describe the advantages and disadvantages of Raw file transformations in ssis packages and in which instances do we use them?
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You can ask a your question in another way, what is the difference between flat files and raw files in ssis
A flat file is just any ordinary file with text in it: a .txt file, a .csv file and so on. you can read them using a text editor. You must add a flat file connection manager to use them.
A raw file is essentially a dump of your data in SSIS to the file system. This is done in a proprietary binary format, so you can't read them yourself. This is used for quickly reading/writing data between different stages in the ETL. And there is No need to a connection manager to use them.
You can read more in these links

Hadi
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