The authors view the problems of developing countries and create innovational organizational and managerial mechanism of clustering, aimed at solving these problems and adapted for provision of sustainable regional development in view of clustering. As a result of the research, the authors come to the conclusion that realization of potential of clustering in the increase of competitiveness of regional economy can be achieved by means of formation of complex mechanism of management of regional socioeconomic development. That's why, in order to receive maximum profit from clustering, innovational organizational & managerial mechanism of realization of cluster initiatives in business should be based on formation of regional innovational clusters as a part of complex mechanism of management of regional development. The mechanism that is offered in the article aims at solving the problems of developing countries in the sphere of clustering by means of coordination of actions of regional authorities and members of cluster entities. Cooperation and interaction of members of cluster entity and regional authorities are oriented at the increase of efficiency of cluster functioning and achievement of goals of regional development in economic, social, and ecological spheres.

Purpose-The purpose of the article is to develop recommendations for overcoming threats and effective use of possibilities of development of small innovational enterprise in the process of its management under the conditions of global competition. Design/methodology/approach-The authors use the method of systemic and problem analysis, opposite tack, method of SWOT-analysis, and method of economic modeling. Findings-The authors determine the place and role of small innovational entrepreneurship in development of global markets and conduct SWOT-analysis of management of small innovational enterprise under the conditions of global competition. As a result of the research, the authors come to the conclusion that globalization of international markets is an objective process that takes place regardless of wish and realization of its importance and consequences by entrepreneurship. That's why small innovational business would be under the threat of disappearance without adequate reaction to change of global markets. Originality/value-In order to restructure the process of management of small innovational enterprise for the conditions of global competition, this work offers proprietary recommendations for increase of effectiveness of management of small innovational enterprise under the conditions of global competition and develop the authors' model of increase of effectiveness of management of small innovational enterprise under the conditions of global competition.