What other ways could have been used by the business owner to give this employee an extra chance?

The business owner could have offered the employee additional training or mentorship to address skill gaps, providing a structured plan for improvement. Implementing a performance improvement plan with clear benchmarks and regular check-ins would allow the employee to demonstrate progress. Additionally, the owner could have considered temporary role adjustments to better align the employee's strengths with job responsibilities, fostering a supportive environment for growth.