This chapter distinguishes among three paradigmatic interpretations, relating to diversification, which inform on theoretical approaches in rural studies (especially in the context of neo-endogenous rural development). However, EU policy approaches to the subject of diversification are increasingly being limited to agricultural activities and the distribution of types of farm production (i.e. agricultural and farm diversification), especially in the 2014–2020 programming period. We challenge such an approach, presenting the case of rural diversification which is, in our view, of greater promise and importance to rural policy. Importantly, as a paradigm, unfortunately it only partially overlaps with the above paradigms and policy imperatives. Defining the three approaches and differentiating among them are important for future conceptual developments and practical solutions in rural studies and policy-making.