In this paper I criticize Cartwright's analysis of capacities and offer an alternative analysis. I argue that Cartwright's attempt to connect capacities to her condition CC fails because individuals can exercise capacities only in certain contexts. My own analysis emphasizes three features of capacities: 1) Capacities belong to individuals; 2) Capacities are typically not metaphysically fundamental properties of individuals, but can be explained by referring to structural properties of individuals; and 3) Laws are best understood as ascriptions of capacities.