This paper analyses the relationships between eco-innovation and business performance by exploring the role of external collaborations as a potential factor explaining the persisting heterogeneity of economic effects of eco-innovation. Basing on a large survey of 3,000 Italian manufacturing firms, the study investigates to what extent collaborations with supply chain and quadruple helix actors, including public institutions, universities and civil society, contribute in sustaining firm’s growth by improving the effectiveness of different types of eco-innovations. We find that the relationship between eco-innovation and business performance is moderated by both supply-chain and quadruple helix collaborations. However, external collaborations with actors of the quadruple helix show a pronounced heterogeneity. While process eco-innovation may in particular benefit from establishing collaborations with public institutions, product eco-innovation relies more on interactions with civil society suggesting that market-driven factors still exert a main role in influencing the market success of this type of eco-innovation.
