Electronic commerce (e-commerce) is relatively new to the agricultural industry, and affects such aspects of the organization as its strategy, processes, customer relationships, information technology, and business culture. This paper analyzes the factors influencing agribusiness firms' desire or need to adopt the Internet and employ e-commerce strategies. The relationship between the factors driving the choice of distribution channel and Internet usage for e-commerce will empirically be estimated. This study will also assess how Internet adoption and the use of e-commerce strategies impact rural development and the overall sustainability paradigm.