By leveraging environment variables and interpolation in Docker Compose, you can create versatile and reusable configurations, making your Dockerized applications easier to manage and deploy across different environments.

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Before using environment variables, read through all of the information first to get a full picture of environment variables in Docker Compose.

This section covers:

• How to set environment variables within your container's environment.
• How environment variable precedence works within your container's environment.
• Pre-defined environment variables.

It also covers: - How interpolation can be used to set variables within your Compose file and how it relates to a container's environment. - Some best practices.