fix: update setup.sh script for better error handling for Docker and …

[SharkFishDeveloper]

…PNPM commands

PR Fixes:

• 1 . Improved logging in setup.sh for the initial project setup.
• 2 . Enhanced error handling logic for Docker and PNPM commands.

Resolves #1817

Checklist before requesting a review

• [✓] I have performed a self-review of my code
• [✓] I assure there is no similar/duplicate pull request regarding same issue