I inserted a radial menu design and I also decreased the icon size and moved the icon on the folder tile to the upper left. Moving the icon away from the title definitely cleared up the tile and made the name easier to read.

I really liked the radial menu idea for the File explorer and I think Microsoft should take it further throughout the OS and other apps. Actually I almost think that they should try to get it to replace the current right click menu.
This new radial menu signifies everything that metro is about: simple functionality and touch. I really love how you can just do swipe gestures on the dot instead of having to open it and I'd like to see them take it further.

• Here I've added some ideas for drag and drop.
• Clicking and dragging a file will cause the navigation bar below to pop up half way. You can drop the file on a folder, the folder locations at the bottom, on another file (to create a folder with both files inside), and on the new folder button (to create a new folder with the single file inside).
• (You can also drag the file to different folder locations in the address bar to get the same effect as in the current File Explorer.)

• If you hover with a file over one of the buttons in the navigation pane it pops up with the folders inside.