To prevent others from accessing the mail, address book, calendar and notes stored in that folder, you can relocate that data into an OS X encrypted disk image. The process for doing so isn't terribly complicated.
Before doing anything, you should back up the Office X Identities folder. Just in case something goes wrong, you will want to retrieve your mail. And it's a good idea to regularly backup that folder, anyway. A good backup forgives a lot of mistakes.
Also before starting, you will want to quit all Office X applications. Then use the Activity Monitor to quit the "Microsoft Database daemon". This process uses the Entourage database and will really confuse things if it is left running.
Next, you'll use the OS X Disk Utility to make a blank encrypted disk image (with plenty of extra space for your Entourage database to grow!) Copy the "Main Identity" folder into the encrypted disk image. Remove the old "Main Identity" folder and replace it with an alias to the copy of the "Main Identity" folder on the encrypted disk image.
From then on, every time you start Entourage it will need to mount that encrypted disk image (either getting the password from your keychain or prompting you for it, depending on whether you store the password on the keychain.)
Do not forget this password. If you forget the password, you will not be able to get at your mail. There's no trick to bypass that. No password, no mail.

Locate the "Database Daemon" process. Select it. Then click "Quit process" and confirm that you want to Quit the application.

Make a note of the folder's size.

Click the " New image" icon. Give the disk image a name (E.g. EncryptedMail) and a place to store it. I keep mine in the "Office X identities" folder, but any place convenient will do.
Set "Encryption:" to AES-128.
Set "Size:" to "Custom"; you'll be prompted for the size you want. Make it considerably larger than the current size of your current "Main identity" folder. I suggest making it at least three times the current "Main Identity" size. This will allow you to grow and have enough room so Entourage can compact or rebuild the database. If you are too stingy, eventually the disk image will become full (Entourage will give you a nasty error message) and you will have to create a new, larger image and transfer your data into it.

Pick a nontrivial password, so it won't be easily guessed. Do not forget this password. If you forget the password, you will not be able to get at your mail. There's no trick to bypass that. No password, no mail.
You can choose to put the password on your keychain. If you do, then the image can open automatically whenever your keychain is unlocked. This is a way to avoid for getting your password, but if you walk away and leave your keychain open, others may be able to see your mail.


Make an alias for the "Main Identity" folder in the encrypted disk image and move it into the "Office X Identities" folder where the "Main identity" folder used to reside.


You can download a copy of this script, "Eject Encrypted Mail", from my file sharing page.tell application "Microsoft Entourage" to quit tell application "Microsoft Database Daemon" to quit tell application "Finder" to eject "EncryptedMail"
Note that while the image is not mounted, you will also not get notifications of calendar appointments (since those are stored in the database.)
If something above seems missing, confusing or down-right wrong, you can eMail me as car1son at my .Mac account. (Please be specific at what point things went wrong and how they went wrong.)
Good luck!