Harmonizing the concept of entrepreneurial capacity

This paper presents a comparative analysis of two potentially overlapping concepts: entrepreneurial capacity and absorptive capacity. Consideration is given to the complex task of distinguishing a nascent theoretical concept from a mature, empirically tested concept without including the presumptions and bias that accompany the nature of comparisons between two potentially competing scientific paradigms. The approach used to analyse the concepts is developed using literature on theory development and results in providing two overarching categories for examination: relevance and utility. The findings provide evidence to support initial observations as to the relative proximity of both concepts with respect to innovation, but ultimately lend ground to our argument that entrepreneurial capacity is highly distinguishable from absorptive capacity, and that the concepts may actually be complimentary. The implications of these findings are significant to the establishment of entrepreneurial capacity as a distinct concept, but also provide an interesting basis for further exploration of how the opportunity school and emergence school that are prevalent within the field may be ultimately streamlined into an alloyed theory of entrepreneurship and innovation.