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I am trying to install a Pyramid app -- let's say test_app . inside a virtual environment and it is getting installed as test-app (pip freeze output shows it test-app==0.0 ). Because of this, I can not import the package. How should I fix this problem? More info: http://mail.python.org/pipermail/distutils-sig/2011-August/017935.html I am using pip version 1.3.1 setup.py: import os from setuptools import setup, find_packages here = os.path.abspath(os.path.dirname(__file__)) README = open(os.path.join(here, 'README.txt')).read() CHANGES = open(os.path.join(here, 'CHANGES.txt')).read() requires = [ 'pyramid', 'pyramid_debugtoolbar', 'waitress', ] setup(name='test_app', version='0.0', description='test_app', long_description=README + '\n\n' + CHANGES, classifiers=[ "Programming Language :: Python", "Framework :: Pyramid", "Topic :: Internet :: WWW/HTTP", "Topic :: Internet :: WWW/HTTP :: WSGI :: Application", ], author='', author_email='', url='', keywords='web pyramid pylons', packages=find_packages(), include_package_data=True, zip_safe=False, install_requires=requires, tests_require=requires, test_suite="test_app", entry_points="""\ [paste.app_factory] main = test_app:main """, ) UPDATE: to summarize the findings so far: It is normal that pip reports the package name as test-app. It is not normal that the egg link is pointing to your virtual env root. But the fact that the .egg-info file is created inside your virtual env root as well points to develop using that directory as

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