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creating a database

useR's,

I am writing a program in which the input can be multidimensional.  As of
now, to hold the input, I have created an n by m matrix where n is the
number of observations and m is the number of variables.  The data that I
could potentially use can contain well over 20,000 observations.  

Can a simple matrix be used for this or would it be better and more
efficient to create an external database to hold the data.  If so, should
the database be created using C and how would I do this (seeing as that I
have never programmed in C)?  

Any help would be greatly appreciated.  Thank you

Derek