Internet shopping has become the fastest-growing use of the Internet; most online consumers, however, use information gathered online to make purchases off-line. A number of authors have attributed consumers' reluctance to purchase online to apparent barriers; however, such barriers have not been examined within a theoretical context. This study examined the nature of perceived risks associated with Internet shopping and the relationship between types of risk perceived by Internet shoppers and their online patronage behaviors within a perceived risk theoretical framework. The research examined four types of perceived risk that were of concern to Internet shoppers and browsers financial, product performance, psychological, and time/convenience loss risk, the relationship between the types of risk perceived and selected demographics, and the effect of perceived risks on Internet patronage behaviors. Findings suggest that perceived risk is a useful context to explain barriers to online shopping. A model for examining Internet patronage behavior from a perceived risk framework is proposed; management implications and propositions for future research are also presented. (C) 2002 Elsevier Science Inc. All rights reserved.
