consequences. Hence, perceived risk can be defined as the magnitude of unfavorable consequences and the probability that they will occur (Mitchell 1999). This is consistent with the many definitions of risk which propose that it is made up of two parts: severity (magnitude) and vulnerability (probability). Perceptions of risk engender wariness of activities which can lead to risk handling behaviors such as purchasing from major brands, information seeking, reducing the amount at stake (Roselius 1971, Dowling and Staelin 1994, Taylor 1994), and in the context of online behavior removing information online, providing inaccurate information, or not doing business with online firms (Milne et al. 2004, Youn 2005).