Organic food: British farmers may miss out on boom

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Sainsbury: your flexible friend

Like-for-like sales are up 6% in Sainsbury's UK stores, its third consecutive period of strong growth. Although it's worth noting the figures are compared to a very poor H1 2000, the retailer seems to be turning its fortunes around. Plans to make better use of information mined from its loyalty card scheme in setting stock levels should help this process.

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Marks & Spencer: another weight off its mind

Divesting Brook Brothers will help M&S focus on its UK business, which it sorely needs to do as recent performance begins to show early flickers of hope. Yet recently, its executive chairman has hinted at looking for opportunities overseas. This may raise a question over the company's degree of 'focus'.

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Sainsbury: ethical grounds for coffee

Sainsbury is following the trend for ethically sound coffee, banking that customers will be willing to pay a premium for the intangible benefit of moral satisfaction. Other supermarkets are likely to follow suit. Sainsbury, meanwhile, is likely to expand the scheme to other commodity products sourced in the developing world.

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Online food & drink: Safeway bows out to stronger rivals

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Iceland: betting on better judgment

Having achieved its first goal of stabilization, Iceland is now seeking to overhaul store operations and formats. CEO Bill Grimsey admits that in the past Iceland's "alignment to customers had perhaps gone a bit astray." For the turnaround to be a real success, Iceland now needs to stay closely in touch with the preferences of its target consumers.

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Burger King: getting its house in order

The US fast-food giant, currently owned by Diageo, will open 35 stores in the UK, creating 1,250 jobs. The company also plans to open up to 300 new outlets in the next five years in the UK. Burger King is going through a tricky time at the moment - its parent wants to sell it, not invest in growth, but at the same time it needs to improve its results so Diageo can get a decent price.

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Marks & Spencer: leaving the US market

Marks & Spencer's sale of US retail chain King's marks the end of the company's international interests. A strong pound and new competition damaged both profitability and sales. The company will now focus on its British interests, and is unlikely to venture abroad for some time.

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Asda/Wal-Mart: following Tesco's lead

Depot-based fulfillment is no longer generally considered a good model in online grocery retailing. Store picking is viewed as more cost-effective. But Asda's announcement is not a sign of failure. The company only invested GBP4 million in the depots, and is now in a position to put up a serious challenge to Tesco with its revamped eCommerce operation.

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Sainsbury: still a long way behind

Has Sainsbury finally managed to bring about a turnaround? The latest results definitely suggest a step in the right direction, but it isn't even in the same league as Tesco. Sainsbury's archrival has already implemented the changes it is now making and more besides, leaving the UK's number two supermarket chain an extremely long way from regaining its crown.

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