This paper explores the factors guiding Internet adoption by agribusiness firms. The relationship between Internet strategies and manager perceptions on the barriers to and catalysts for Internet adoption are analyzed in a supply-chain management framework. Using factor analysis and an ordered Probit model, results indicate that Internet strategies are more likely to be adopted in larger firms with a global scope. Also, manager perceptions regarding the impact of Internet adoption on transaction costs are just as likely to influence adoption as the perceived impacts on more traditional production costs.