Developing small states are often discussed as a whole because of shared vulnerabilities, but could instead be treated according to their di?erent socioeconomic characteristics. This paper investigates those di?erences and subgroups them through the use of statistical methods. Seven common factors were ?rst extracted from 25 key socioeconomic indicators. Cluster analysis based on factor scores was then used to obtain distinct clusters of small states. Nine welldelineated clusters were thus obtained, each of which containing small states with similar characteristics. Managerial implications for international aid based on the ?ndings are then proposed. 2002 Elsevier Science Ltd. All rights reserved.