Macbook won't set up at all

Hi there,

I've received this MacBook but unfortunately, it isn't working. FYI, it isn't a brand new model and wasn't received directly from Apple; it was sent by someone I know.

This is the first screen I arrive at:

If I select Startup Disk..., it doesn't find one. If I select Recovery..., I come to these four options:

Restore from Time Machine doesn't work.

Reinstall macOS Big Sur doesn't work (can't find a disk to install on).

Disk Utility shows me this:

I have attempted to erase the physical disk, so I can re-install it and then hopefully macOS Big Sur but erasure fails.

I'm not sure what else I could attempt here. So, I would appreciate some help and guidance on what to do. It's a Model: A2337 MacBook Air.

Thanks in advance!