In Britain, a price war has erupted among grocers rushing to capitalize on the demise of Woolworth’s. Formidable supermarket chain Asda seeks to knock non-food rival Tesco from the number one spot.

As part of an expansion of its non-food stock, Asda announced it will increase the volume of goods sourced through its US owner, Wal-Mart. The partnership with Wal-Mart will allow Asda to offer cut-rate prices on non-food items -- from candles to bedding -- challenging main competitor Tesco for market share. Asda already sources 40% of its goods from Wal-Mart.Continue reading...

Consumers disappointed by the tease of an iPhone price war between Orange and O2 can rejoice: Tesco has raised the stakes.

Tesco Mobile is offering a £20-a-month iPhone, but the offer is not without its caveats. Subscribers must pay, on top of a one-year contract, £222 for a standard 8GB model and £320 for the 3GS 16GB model. Consumers interested in a free handset, as Orange and O2 offer, can sign up for a two-year contract priced at £60-a-month.

Tesco’s one- and two-year contracts remain the most competitive in Britain, besting Orange and O2’s 18-month contract of £624 and £713 and £626 and £714, for the 8GB and 3GS 16BG, respectively.Continue reading...