D'ya think if Sony thought LBP was a flop that they would have green lit ModNation Racer as Sony's premier Kart racer game? Doubtful. D'ya think LBP PSP would have been made if LBP was a flop? Not likely.
The existence of ModNation Racer and LBP PSP is proof positive that LBP PS3 is far from being a flop.
Oh and the fact that people who play the game love the game helps a lot too.
The only time I see bundling as a sales "cheat" is when a game is auto-bundled with every console sale at every retailer. AFAIK there's only one auto-bundled game this gen: Wii Sports. There will be very few people who bought a PS3 bundled with LBP who didn't chose the LBP bundle because it came with LBP. If you chose the LBP bundle over other bundles then that's a LBP sale just as much as if you bought the game on its own.
“The fundamental cause of the trouble is that in the modern world the stupid are cocksure while the intelligent are full of doubt.” - Bertrand Russell
"When the power of love overcomes the love of power, the world will know peace."
Jimi Hendrix