In this paper we develop new methods of study of generalized normal homogeneous Riemannian manifolds. In particular, we obtain a complete classification of generalized normal homogeneous Riemannian metrics on spheres. We prove that for any connected (almost effective) transitive on S n compact Lie group G, the family of G-invariant Riemannian metrics on S n contains generalized normal homogeneous but not normal homogeneous metrics if and only if this family depends on more than one parameters. Any such family (that exists only for n = 2k + 1) contains a metric g can of constant sectional curvature 1 on S n . We also prove that (S 2k+1 , g can ) is Clifford-Wolf homogeneous, and therefore generalized normal homogeneous, with respect to G (excepting the groups G = SU (k + 1) with odd k + 1). The space of unit Killing vector fields on (S 2k+1 , g can ) from Lie algebra g of Lie group G is described as some symmetric space (excepting the case G = U (k + 1) when one obtains the union of all complex Grassmannians in C k+1 ).2000 Mathematical Subject Classification: 53C20 (primary), 53C25, 53C35 (secondary).