Single sourcing implies that:

Single sourcing refers to the practice where an organization relies on just one supplier for certain goods or services. This strategy allows for a deeper relationship between the buyer and supplier, which can lead to benefits such as better communication, exclusivity in procurement, and potentially more favorable terms. When an organization relies on a single supplier, it can streamline processes, achieve better supplier performance, and improve quality through focused collaboration.

This approach can be particularly beneficial for specialized products or when a supplier has a unique capability that is not easily replicated by others. While this might create risks in terms of dependency on one supplier, it also can result in efficiencies that are not possible when engaging multiple suppliers. The other options misrepresent the concept of single sourcing, as they imply diversification, competition, or a multi-supplier strategy, which are not characteristics of single sourcing.