Therefore, no matter how well prepared, you will likely need to formulate additional
questions extemporaneously to get students back on track or out of a dead end. You
might also have to provide missing background information and tune your questions
and the sequence they are asked in response to student feedback. Obviously, all
of this can be difficult to carry off on the spot, but the rewards for success are
significant.
The following example demonstrates how to implement the formal questioning technique
(Socratic Method):
Instructor: If you were going to start a bookstore, which legal
form of organization would you choose?
Student: A sole proprietorship.
Instructor: Why?
Student: I would be the sole owner and not responsible for others
in the business.
Instructor: Why is that important?
Student: Because other people in a business can make mistakes that
can cost me money.
Instructor: So, are you worried about liability?
Student: Yes.
Instructor: What if a customer slips on the floor of your bookstore--wouldn't
you be potentially liable for this person's injuries?
Student: I could buy injury insurance.
Instructor: A very good answer. However, let's say you suddenly
experience a huge demand for fantasy books, spend all of your money stocking up
on them, and then experience a sharp drop off in demand. You own your home, but
have little income, no savings, and your creditors are beating on your door. What
do think would happen?
Student: I would close the business.
Instructor: In a sole proprietorship, when you
go out of business, you are still personally liable for any debt. What do you think
would happen to the equity in your house?
Student: The creditors would go after it, but I would file for
bankruptcy.
Instructor: In Washington State, bankruptcy only protects a small
portion of the equity in your home. The rest of the equity would go to your creditors.
Do you still think a sole proprietorship protects you from liability?
Student: Apparently not.
Instructor: In fact, a sole proprietorship exposes
you to unlimited liability, with regards to your personal assets. So, what legal
of organization protects your personal assets?
Student: I understand what unlimited liability means now and, according
to the textbook, there are three other options - a limited liability company, S
corporation, and corporation.
Instructor: A good summary. So, which one would you choose to avoid
unlimited liability?
Student: I would set it up as a limited liability company.
Instructor: Why?
Student: According to the textbook, there is less paper work and
I don't have to pay corporate income tax.
Instructor: Two excellent points supporting your choice. A word
of caution, however, a limited liability company must be set up properly to be legal.
Student: I really don't want to pay an attorney to set it up for
me, as it is expensive.
Instructor: There are books that provide step-by-step instructions
on how to set up a limited liability company.
Student: Great, I will buy a book and do it myself.
Instructor: You can still save money by doing most of the work
yourself using advice from a book, but be sure to run it by an attorney who specializes
in setting up a limited liability company to review your paper. You still save money
by doing most of the work and avoid potentially costly legal mistakes.
Student: Thanks! This sounds like the way to go for me.
When using formal questioning, expect to be surprised with clever or innovative
answers that require detours in the online discussion sequence. Be on guard for
mistaken beliefs that are strongly held because they can greatly lengthen the conversation.
You may need to offer convincing counterarguments to dissuade students from incorrect
assumptions. In addition, pay attention to signs that indicate students have become
confused or lose the trail of sequential logic (i.e., the premises leading to the
correct conclusion).
It is sometimes difficult to tell the difference between incorrect assumptions and
guesses. When guessing, students will tend to give brief answers, appear uncertain,
lack zeal, or slack off in participating in the discussion. If student responses
are confident and correct, it is likely that they comprehend the logical follow
of the discussion. If their answers are incorrect but assertive, they are likely
acting upon incorrect assumptions.