Small business owners have had a few rough years. First, the Covid-19 pandemic caused many to lose revenue. Now, theyre dealing with higher costs as inflation rises. The consumer price index, which measures the prices of goods and services, increased 8.5% in March from a year ago, while the producer price index, which measures prices paid by wholesalers, jumped 11.2% year over year in March. For Kate Russell, 40, co-owner of Kentucky-based Hopskinsville Brewing Company, that means everything from equipment and aluminum to grain and fuel has gotten more expensive. On average, her total costs have gone up about 15% to 20%. We sat on that as long as we could before we finally had to just break down and raise prices, she said. We felt really bad about that. We still feel very bad about that. Inflation, as well as supply-chain issues and workforce challenges, are weighing heavily on businesses. Some 91% said these broader economic trends are having a negative impact on their business, according to a survey of 1,107 small business owners from Goldman Sachs 10,000 Small Businesses Voices. Fully 73% said increasing energy costs are having negative impacts on their bottom lines. However, like Russell, small business owners are hesitant to raise prices, according to the latest CNBC|SurveyMonkey Small Business Survey for Q2 2022. Some 75% said they are currently experiencing a rise in the cost of their supplies, yet only 40% are increasing prices. Thats down from the 47% of owners who adjusted prices in the first quarter. Small-business owners are also getting creative, looking for alternative solutions, such as reducing the quantity of goods and services offered to help stabilize costs, the survey found. Its something Jennifer Glanville, director of partnerships and collaborations at Boston Beer Company, sees in her role as head of the companys Brewing the American Dream program. The initiative partners with nonprofit lenders to help with access to capital and also offers one-on-one coaching for small business owners. Recently, the focus has been on helping them navigate higher costs. Consumers are expecting to spend more whether we like it or not, but its really how we can help position these businesses for success around that and keeping some of their other costs down, Glanville said. That can mean looking for efficiencies with ordering and networking as a way to find support and perhaps products and services at a reduced cost, she said. For her part, Russell is now looking at possibly cutting back on live entertainment and trivia nights to reduce expenses. She and her partner have also taken pay cuts. Fortunately, customers arent really complaining about the increase in prices, she said, since its happening across the board in the economy. What they do talk about is the incredible run up in gas prices, which were up 18.3% in March from the month prior, and 48% from the previous year. Thats what is really impacting Mindy Godding, co-founder of in-home organization company Abundance Organizing, based in Richmond, Virginia. Her employees can commute up to an hour to a job. They soon found themselves spending $50 to $70 to fill up their tank. Not only are there higher prices and labor issues, but rising interest rates are also putting the brakes on some long-term goals she had planned, like buying a new vehicle. We are really getting the triple whammy right now, Godding said. It feels like we are being squeezed in every direction. Yet for those who navigated the pandemic, theyve already learned how to pivot and survive. Theyve been through so much in the past 24 months, Glanville said. Their ability to be creative and innovative around their business and the business needs have actually set many of these businesses up for success, even with inflation as it is. Discuss the macro environment small businesses face with application to the case study. Include the following themes in your discussion: A brief outline of the macro environment; The economic environment; The technological environment; The physical environment