The most risky and challenging marketing opportunities involve
A. product development
B. diversification
C. market penetration
D. market development
E. All of the above are equally risky
Answer: (B) Among the four types of growth opportunities described in the question, diversification (B) would be most risky because it involves marketing new products in new markets. In other words, both the product and market are brand new in the case of diversification and that increases the uncertainty level along with risk.