If Shayla feels bad that Jace is making fun of Alex, this is showing empathy for someone. This shows Shayla's character as well, so the answer is character. Jace's character is that she likes to bully people. We can not tell the personality of Alex because he is only getting bullied.
the begINING of the story could be like my dog is cute but sometimes he is really crazy because he likes to run off and almost get runed over and that is the begINING.