Abstract
Despite the ongoing debate, there is an absence of research in finding the relationship between radical product sustainability oriented innovation (SOI) and firm’s triple-bottom-line (3BL) performance. While radical product SOIs may lead to 3BL performance, they may also fraught with commercialization risks and uncertainty. This study aims to examine the relationship between radical product SOI and firm’s 3BL performance in a business-to-business (B2B) context with a mediating variable – radical innovation uncertainty. Using a multi-informant approach, survey data were collected from 187 Malaysian and Singaporean B2B firms involved in R&D and NPD activities, provided by 326 R&D and marketing managers. The authors find that radical product SOI is positively related to radical innovation uncertainty, which is negatively related to 3BL performance dimensions i.e. environmental, social, and financial. Moreover, authors examine the moderated-mediation effect by industry type, service vs. manufacturing: it moderates the negative mediation effect of radical innovation uncertainty and this effect is weaker for service firms than manufacturing firms. The findings offer clear guidelines to B2B managers for development and marketing of radical product SOI and also facilitate firms’ 3BL performance. Limitations and future research directions are also discussed.