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 In preparing your replies, consider only the employee issues in Question  4. 

4. Advise Shania on which of the interested persons she should include in  her business, why, and in what role(s). If she chooses not to take in a  particular party, what reasoning should she give each person, if any?  Your analysis must include biblical perspectives, such as biblical  considerations of marriage and of business relationships with  non-believers. 

Reply to the threads of 2 classmates who reached a different  conclusion than you did. Identify the points of difference in your  analyses and explain how your application of the relevant law to the  facts of this situation led you to a different conclusion.

Then,  assume that Shania opened her coffeehouse and became so successful that  she has 20 employees and needs to promote 1 of them to be the night  shift supervisor. The employee base is quite diverse; in fact, Shania  believes she should promote a racial or ethnic minority employee to  demonstrate how inclusive her business has become. Explore the legal,  ethical, and biblical issues if Shania makes her promotion decision  entirely on that basis. What are her options?

Each reply must be  supported by 3 scholarly sources, other than the textbook/course  materials. Each reply must be properly cited in current APA format.

Review  the Assignment Instructions for Discussion Board Forums, noting  especially requirements for word counts, scholarly sources, and biblical  worldview integration.

FIRST REPLY ……………  Fredrick Croft 


Form of Business

Shania’s  goal of opening up a coffee shop in the area could be highly  successful, especially utilizing a Christian theme and particularly  appealing to other religious persons that reside in the area. The first  thing Shania must decide is what form of business would best accomplish  her goals. While a sole proprietorship is attractive due to its low  startup costs and ease of setup, taking on complete liability for all  debts incurred along with the inability to raise capital by selling  shares of the business is not a good long term business model. Similar  to a sole proprietorship, a partnership also will expose Shania to  liability to debts owed by the company, as well as debts that her  partner enters into (Kubasek, Browne, Barkacs, Herron, Williamson &  Dhooge, 2015, p. 464). Seeing as she also does not have someone who she  should share ownership in the business, aside from maybe her husband who  she could use as a capital investor, a partnership is not the best  option. The last two options Shania has with regards to business setup  is to create an LLC or a corporation. Due to the simple and flexible  nature of an LLC in a sense that it allows for many of the same limited  liabilities that corporations do, yet requires much less record keeping  and does not require many stipulations that corporations do, an LLC  would be Shania’s best option for forming a business. By creating an  LLC, Shania would have a much easier time with record keeping, tax  reporting and liability shielding. 

Franchising Decision

             Determining whether to franchise or not is a big decision for Shania to  make. Franchising offers many advantages when making a startup such as  providing “tried and true” guidance in the early stages of business  setup and operations. Also, franchising has shown to aid in defending  market share when competition enters into your market (Welsh, Davis,  Desplaces, David & Falbe, 2011). By choosing the franchise with that  requires Shania’s coffee shop to use the company name and trade dress,  she would have much less control over the name and overall atmosphere  she could create, however this would benefit her in that the shop would  have higher brand recognition and a built in customer base to go along  with that. By opting for the franchising option that would supply Shania  with product and staff training only, she would be able to build the  atmosphere that she wanted and chose a name that she desires. The third  option is to forgo franchising all together and build the business from  the ground up her own; by doing this she would have complete control  over every aspect of the business, but also have much heavier a burden  with regards to supplier relations and staff training. Franchising gives  new business owners the opportunity to hone their management abilities  without having to account for every minute detail of the business  operations (Hansen, 2018). Her choice here would greatly depend on both  the amount of time and capital she has available to her. While  franchising has its benefits, if Shania has the ability to bootstrap the  business from the ground up with personal funding then she would likely  do well in forgoing these options as she would not be beholden to  product volume requirements or to create an atmosphere not her own.  “Poor is he who works with a negligent hand, but the hand of the  diligent makes rich,” (Proverbs 10:4, New International Version). The  Lord rewards those who work hard in an honest and true manner; by  creating a culture in her own company that rewards good, honest and true  behavior, she will surely succeed in her business ventures.

The Gathering Place

The  name Shania has chosen for her business will lend to be highly  problematic as there is already a non-profit organization with the same  name in Denver, Colorado . Not only is the name not available in the  area, the organization has already trademarked the name for use and is  in ownership of social media sites with the same name (“The gathering  place”, n.d.). Due to these reasons, Shania will need to think of a  different name for her business. “A good name is more desireable than  great riches; to be esteemed is better than silver or gold,” (Proverbs  22:1, New International Version). Shania would be best to chose a name  that is dissimilar to other companies and potential competitors as a  means of differentiating her business and allowing for her to develop  greater brand equity in the name (Alserhan & Alserhan, 2012). 

Choosing Business Partners

             In choosing business partners, Shania has multiple different friends  and relatives to pick from, but not all of them are likely to be the  most suitable. Shania’s husband Marvin has already made available the  fact that he is willing to support her in her business venture  financially, and she should greatly consider taking advantage of this  opportunity. Kelsey, Shania’s sister, is a unique circumstance that  proves troublesome; while she wants to work at the coffee shop and would  likely be a good person to help run the store, the fact that Kelsey’s  husband does not want her to work there creates a problem. Scripture may  guide Shania in her contemplation of hiring her sister as the current  situation stands: “It is to one’s honor to avoid strife, but every fool  is quick to quarrel,” (Proverbs 20:3, English Standard Version); “The  wisest of women builds her house, but folly with her own hands tears it  down, (Proverbs 14:1, English Standard Version). Regardless of if  Kelsey’s husband is a Christian or not, it should not be Shania’s place  to be the cause of conflict between the two. The best course of action  here would be to sit down with both Kelsey and her husband and try and  come to a  workable solution where both of their wishes are fulfilled;  there may be a simple compromise that could be reached or simple  objections that can be set at ease by planning out the venture together.  If no compromise can be met, then I would likely recommend Kelsey does  not come work for the shop; however, if she insists, then do not stand  in the way of her sister’s goals as to avoid conflict with her sister.  Lastly, Carlos seems to have a good eye for business; he seems like a  good person to have on the team from a marketing perspective and could  prove beneficial in growing the business. “Do not be unequally yoked  with unbelievers. For what partnership has righteousness with  lawlessness? Or what fellowship has light with darkness?” (2 Corinthians  6:14). On the other hand, Carlos being a non-believer may not have the  same convictions or moral compass that Shania has and could possibly  lead the business astray in pursuit of financial gain. Shania could hire  Carlos on as an employee, but would likely be best to avoid joining in  partnership with him as his motivations are purely money and it would  give up control over her own business.



Alserhan, B., & Alserhan, Z. (2012). Naming businesses: names as drivers of brand value.” Competitiveness Review: An International Journal, 22(4), 329-342. Doi: 10.1108/10595421211247169

Hansen,  D. (2018). Climbing the Ladder: 3 Lessons From a Franchisee-to-CEO: A  powerful benefit of franchising is that it serves as an incubator to  develop talented business professionals rapidly. The skills needed to  run a successful franchise can differ from those needed to be successful  as a franchisor. Franchising World, 50(2), 38+

Kubasek, N. K., Browne, M. N., Barkacs, L., Herron, D., & Dhooge, L. (2016). Biblical worldview edition of dynamic business law. N. J. Kippenhan (Ed.). New York, NY: McGraw Hill Education.

“The gathering place – trademark details.” Justia. Retrieved from https://trademarks.justia.com/854/69/the-gathering-85469710.html 

Welsh,  D, Davis, A., Desplaces, D., & Falbe, C. (2011). A resources based  view of three forms of business in the startup phase: implications for  franchising. Journal of Small Business Strategy, 22(1), 47-65. 

SECOND REPLY……….. Jennifer Augustin 


Business Form that Best Suits Shania’s Business Goals

When  considering a Limited Liability Company (LLC) versus sole  proprietorship, in Shania’s position, the safest choice would be to  choose an LLC.  The biggest risk with the sole proprietorship is the  personal assets that legally can be seized, compared to an LLC that  would only have liability in the assets tied to the business (Kubasek, Browne, Barkacs, Herron, & Dhooge, 2016).   As an example, if a lawsuit were to come forward from someone slipping  on a slick floor in the coffee house, in a sole proprietorship, the  owner’s house, car and any other personal assets may be at risk.  By  obtaining an LLC for Shania’s coffee house, it provides protection for  her personal assets.  

Franchise Versus Independent Coffeehouse

             In a comparable coffee house franchise, Lasaters Coffee & Tea®,  requires a 10-year contract, no additional royalties and the initial  startup costs are between $257,500 – $309,500, as well as, a $35,000  one-time franchise fee.  As a requirement, you must have $60,000-90,000  in liquid assets in order to start your coffee shop.  Store design,  training and equipment are part of the initial costs (Franchising,  n.d.).  Shania would not be required to negotiate equipment or supply  costs, but would be required to own and operate particular machinery and  sell specific products. 

As  an independent coffee house, Shania would lack the brand recognition,  but would potentially need far less in initial investment.  She would  have the flexibility to design and implement her business the way that  she intended.  If she has previous barista experience, but does not have  the required $35,000 and $60,000-90,000 in liquid assets to invest,  then she may be wiser to open her own independent coffee house.  

The Availability of Trademarking the Coffee House Business Name

The  Gathering Place has trademarked the name in the state of Colorado.  The  Gathering Place is a non-profit refuge for women, children and  transgendered.  Although they are not in competing markets, a trademark  infringement may be claimed, because it may be confusing to people as to  the affiliation of each organization.  The Gathering Place does not  have a religious affiliation and is very inclusive to individuals.  If  individuals in need see a coffee house with the same name sake, they may  falsely believe that they are affiliated, and assume the refuge shares  the same values or that the two are connected.  

Also,  Shania may receive more or less business based on the beliefs of  others.  The Gathering Place is a supportive operation to women and  children, as well as those that are transgendered.  Those that are  against the LBGT community may boycott the coffee house.  Carlos  suggested marketing the coffee house to the Mormon temple.  114  individuals were surveyed that identified as transgendered and Mormon,  what was concluded was that a majority of those surveyed did not feel  accepted within the Mormon church, as well as, confusion within the  Mormon community of gender identities other than male and female  (Sumerau, Cragun, & Mathers, 2016).  It is not recommended that  Shania name her coffee house “The Gathering Place”, instead she should  choose another name that does not have a trademark within the state of  Colorado.  

Individuals Employed

Shania  is the owner, as well as the management.  By having a mature Christian  serve in the owner/management capacity, she would have a direct  influence on the values that the company would hold (Wood & Heslam,  2014).  Shania’s husband, Marvin, stated he wanted little to do with the  business other than to provide capital, therefore would not have a  direct role in the business.  Assuming that since Shania is opening a  coffee house, she would have background knowledge of how to make coffee,  Shania would initially be the barista trainer. She should consider  cross training Kelsey and Carlos on how to make beverages and any of the  baked goods.  

Kelsey  would be a cashier and a barista, assuming she would be an honest, hard  worker.  She has not worked outside the home in a while, and her  husband does not support her endeavor, therefore a compromise would be  if her hours coincided with her children’s school schedule.  By having a  job that did not interfere with her children’s obligations, but still  having the ability to work out of the house may be a fair solution.   Having Kelsey’s excitement about the business and Christian background  would prove to be an asset for Shania.  Shania may want to consider to  hire Kelsey at a lower end job, with the potential to promote as the  coffee house grows.  Her husband must be supportive in his wife’s  endeavors, as the Bible says in Philippians 2:3, :”Do nothing out of  selfish ambition or vain conceit.  Rather, in humility value others  above yourselves” (NIV).  Kelsey’s husband needs to be supportive in her  aspirations.  With the narrowed way of thinking, his wife cannot make  possible what she sets out to do.  

2  Corinthians 6:14 discourages believers and non-believers in business  partnerships, “Do not be yoked together with unbelievers. For what do  righteousness and wickedness have in common? Or what fellowship can  light have with darkness” (NIV)?  Carlos may not have the Christian  point of view, but by being immersed in a Christian environment, Carlos  may be encouraged to explore the Christian faith.  Shania is the  shepherd, and the employees are her flock.  This could be an opportunity  that is mutually beneficial for Shania and Carlos.  Carlos seems like  he is progressive in his thinking, trying to think of applicable markets  for the coffee house, Shania could share the Christian faith with  Carlos and also gain an employee that is wanting the coffee house to be  successful.  

             Carlos would be a good fit for marketing, as he is already looking for  new target markets to approach.  However, Carlos needs to conduct more  research on those markets in which he intends to reach.  For example,  Carlos suggested reaching out to the Mormon temple.  Mormons refrain  from caffeinated beverages, such as coffee and tea, and treat their body  as an earthly temple; therefore he may try the approach of marketing  healthy baked goods (“The Word of Wisdom Helps Us Care for Our Bodies  and Spirits”, n.d.).  As suggested previously, it would be recommended  that Carlos is also cross trained in the barista position and how to  make any of the bakery goods.  By Shania training all of her employees  in each position, it gives her the flexibility and increases her chances  of having a successful business.  



Franchising. (n.d.). Retrieved June 30, 2018, from https://lasaterscoffee.com/franchising/

Kubasek,  N. K., Browne, M. N., Barkacs, L., Herron, D., & Dhooge, L. (2016).  Biblical Worldview Edition of Dynamic Business Law. N. J. Kippenhan  (Ed.). New York, NY: McGraw Hill Education. 

Sumerau,  J. E., Cragun, R. T., & Mathers, L. A. B. (2016). Contemporary  religion and the cisgendering of reality. Social Currents, 3(3),  293-311. doi:10.1177/2329496515604644

The  Word of Wisdom Helps Us Care for Our Bodies and Spirits. (n.d.).  Retrieved from https://www.mormon.org/beliefs/word-of-wisdom

Wood,  E. A. S., & Heslam, P. S. (2014). Faith and business practice  amongst christian entrepreneurs in developing and emerging markets. Koers – Bulletin for Christian Scholarship, 79(2) doi:10.4102/koers.v79i2.2131

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