An outboard motor has a throttle actuator adapted to control an amount of intake air supplied to an engine, and a shift mechanism that controls shift operation between a neutral and at least a forward gear. The throttle actuator includes a member that is adapted to interfere with the shift mechanism so as to prevent shift actuation when the throttle is opened beyond a predetermined setting. As such, shift operation is prevented at high throttle openings, but throttle operation is still enabled.