Research has shown that the manifestation of corporate entrepreneurship is an important strategy for the success of private‐ and public‐sector organizations. The Corporate Entrepreneurship Assessment Instrument (CEAI) is an instrument that was developed to measure the key internal organizational factors that influence a firm's entrepreneurial activities and outcomes. The present research employs three studies to assess the content, construct, and convergent validity of the CEAI using a well‐established framework for scale development and refinement. The CEAI was found to be a relatively stable instrument, although the factor structure that emerged varied slightly from the original instrument. In sum, as a result of our analyses, a more parsimonious and psychometrically sound set of items for each factor was derived yielding an 18‐item instrument based upon the original 48‐item measure. Our studies of the CEAI present a timely contribution toward advancing research in the area of organizational preparedness for corporate entrepreneurship.