I think he is adorable! But if people are afraid of him, it's probably because he looks like a black wolf to them.
If he is barking at strangers, then it's a good idea to really increase his socialization. Take him to a lot of different places with different things and people to expose him to. It's also a good idea to sign him up for some puppy classes. Those will help with the socialization as well as with some basic obedience.