How product intangibility and its moderators affect perceived risk in online shopping setting

Online shopping has become one of the most rapidly growing forms of shopping. Meanwhile, compared with traditional shopping, consumers perceive it as more risky. Previous studies have found that there is a relation between product intangibility and consumers' perceived risk. Since these studies did not use an experimental method to manipulate product intangibility, they could not reveal a causal relationship between product intangibility and perceived product related risk in an online setting.; The primary objective of the present study is to examine the causal relationship of the product intangibility and various types of product risk in an online shopping environment. Online experimental tests based on student samples are designed for this research objective. The study model includes two antecedents: one is product intangibility and the other is shoppers' concern for web security and personal privacy. At the same time, the moderating effect of the concern for web security and personal privacy on the relationship between product intangibility and product related risk is examined.; The result of the research indicates that product intangibility and concern for personal privacy both are reasons of producing product related risk in an online setting. Theoretical and practical contributions to the marketing are discussed.