I can think of two reasons they might say that a camera isn't good for large prints of severe cropping.
1. Not enough pixels - for an 8 x 10 photo to get optimum results you need at least 7 megapixels.
Too many pixels can yield a poor large photo too. The average point and shoot camera of 14 megapixels or larger will suffer from lost detail because the sensors are so noisy.
2. Poor resolution - If the photo is not sharp down to the pixel level, large photos will show a smudged appearance on small items such as blades of grass and leaves on trees.
Take a look at the Panasonic ZS15 (TZ25).
It is 12 megapixels and produces very sharp images.
You can probably find one for about $200.