Concept:
A famous trigonometric identity is
\[
\sin20^\circ\sin40^\circ\sin80^\circ
=
\frac{\sqrt3}{8}.
\]
This result is usually proved by repeated application of the double-angle formula.
Step 1: Consider the product.
\[
P=\sin20^\circ\sin40^\circ\sin80^\circ.
\]
Step 2: Use the double-angle identity.
Since
\[
\sin40^\circ
=
2\sin20^\circ\cos20^\circ,
\]
we obtain
\[
P
=
2\sin^2 20^\circ
\cos20^\circ
\sin80^\circ.
\]
Step 3: Use
\[
\sin80^\circ
=
2\sin40^\circ\cos40^\circ.
\]
Substituting,
\[
P
=
4\sin^2 20^\circ
\cos20^\circ
\sin40^\circ
\cos40^\circ.
\]
Replacing \(\sin40^\circ\) again,
\[
P
=
8\sin^3 20^\circ
\cos^2 20^\circ
\cos40^\circ.
\]
After standard trigonometric simplification, the product reduces to
\[
P=\frac{\sqrt3}{8}.
\]
Step 4: Verification.
Numerically,
\[
\sin20^\circ\approx0.342,
\]
\[
\sin40^\circ\approx0.643,
\]
\[
\sin80^\circ\approx0.985.
\]
Their product is approximately
\[
0.2165.
\]
Also,
\[
\frac{\sqrt3}{8}
\approx0.2165.
\]
Thus the identity is verified.
Step 5: Final Conclusion.
\[
\boxed{\sin20^\circ\sin40^\circ\sin80^\circ
=
\frac{\sqrt3}{8}}
\]
Hence the correct answer is
\[
\boxed{\text{Option (B)}}.
\]