Final answer:
Sourcing is the acquisition of inputs or factors of production such as labor, materials, and machinery, necessary to produce goods and services and tackle scarcity.
Step-by-step explanation:
Sourcing can be defined as the process of acquiring the necessary inputs or resources such as labor, materials, and machinery that are essential in creating goods and services. These inputs are also widely recognized as the factors of production in the realm of business and economics.
The factors of production include all the necessities for generating value in products or services, which encompass physical materials, human resources, technology for technical expertise and knowledge, and capital in the form of machinery and equipment. Scarcity is an underlying concept in this context, emphasizing the imbalance between humans' vast wants and the limited resources available to satisfy them.