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Will I need a wi-fi or 3G connection to listen to radio ?

there are rumors that the S3 supports FM Radio (perhaps why the headphone method was mentioned, as it uses the headset cord as an antenna) but i have never seen the particular app that it was supposed to use (called just 'radio') so i am not sure how true it was. i have not tried a third-party app as i hear it can crash the device.

But yea, most online radio apps (Pandora, Last.fm, etc) and even FM radio apps (iHeartRadio, which just streams real FM stations in your area or any area you pick via internet) require at least a wifi connection. thank goodness i have one at work.
 
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So let me clarify this.

Internet radio apps require data. Pandora, Spotify, iHeartRadio, Google Play Music, and the like. These stream music over the internet. So you need a decent 3G/4G connection, or WiFi.

FM Radio apps require the phone to have a FM broadcast band tuner in it. Phones with this hardware would use the headphone cord as an antenna. This would not use data. It would be just like an old walkman that you tune into an FM radio station live. The US GS3 does not have an FM broadcast tuner in it. I don't know about the international ones.
 
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