PDBA Ltd$.$ is considering diversifying its product line as part of its long$-$term growth strategy. The company has historically been involved in the manufacturing of consumer electronics but is now looking at entering the healthcare devices market. Given the significant differences in the regulatory environment, customer base, and competitive dynamics between these two sectors$,$ the decision involves a complex analysis of strategic fit and industry attractiveness.

Which of the following best describes the strategic action PDBA Ltd$.$ is considering, and what should be the primary focus of their analysis before proceeding?

Group of answer choices

Market Penetration $-$ The company should focus primarily on increasing market share within their existing market by enhancing product features and marketing efforts.

Product Development $-$ The company should invest in research and development to innovate new products that leverage their technological capabilities in the new market sector.

Diversification $-$ The company should perform a thorough analysis of the healthcare device industry$$s structure using Porter$$s Five Forces model to understand the potential profitability and risks associated with diversification.

Market Development $-$ The company should analyze new geographical markets for their existing products and consider the differences in consumer behavior and market demand.