Abstract: The subject of the research is Z. Naloev's novellas. The authors of the article examine features of transformation of the genre system and individual artistic consciousness in the Kabardian literature based on works of a famous prose writer Z. Naloev. The aim of the article is to analyze the literary succession and innovations and how trends of small genres developed. Within the framework of this research beauty is viewed not only as the best and most sensual expressino of the main idea but also as adherence to traditions of Aygei ethnic aesthetics, thus extending the concept of beauty as it is and the ethnocultural interpretation of beautiful. To achieve the research targets, the authors have applied the comparative historical method to analyze novellas of the Kabardian writer. They have also given an artistic evaluation of ethnopsychology and described aesthetical models used by the Adygei (the Circassians) to define the philosophical category of beautiful as part of the Kabardian prose. The singuliarity of creative individuality and general patterns of national literary process are of great importance for the literature of the peoples living in the South of Russia. The research results can be used for the development of special courses, disciplines at high and secondary schools as well as analysis of the dynamics of national literary process. The main outcome of the research is that the authors have defined peculiarities of the worldview of the Kabardian ethnos about the beauty in terms of Z. Naloev's works and the great variety of images in small genres of the Kabardian literature.