diff --git a/extras/Makefile b/extras/Makefile
index ff14f404e2c..531fae63fcf 100644
--- a/extras/Makefile
+++ b/extras/Makefile
@@ -4,6 +4,6 @@ sdist:
 	python setup.py sdist
 
 bdist_wheel:
-	python -c "import setuptools;__file__='setup.py';exec(compile(open(__file__).read().replace('\\r\\n', '\\n'), __file__, 'exec'))" bdist_wheel
+	python setup.py bdist_wheel --skip-scripts
 
 .PHONY : sdist bdist_wheel
diff --git a/setup.py b/setup.py
index 6278afa116e..2818037bd22 100644
--- a/setup.py
+++ b/setup.py
@@ -1,7 +1,7 @@
 import os
 import sys
 
-from distutils.core import setup
+from setuptools import setup, find_packages
 from distutils.sysconfig import get_python_lib
 
 # Warn if we are installing over top of an existing installation. This can
@@ -23,59 +23,11 @@ if "install" in sys.argv:
             break
 
 
-def fullsplit(path, result=None):
-    """
-    Split a pathname into components (the opposite of os.path.join)
-    in a platform-neutral way.
-    """
-    if result is None:
-        result = []
-    head, tail = os.path.split(path)
-    if head == '':
-        return [tail] + result
-    if head == path:
-        return result
-    return fullsplit(head, [tail] + result)
-
-
 EXCLUDE_FROM_PACKAGES = ['django.conf.project_template',
                          'django.conf.app_template',
                          'django.bin']
 
 
-def is_package(package_name):
-    for pkg in EXCLUDE_FROM_PACKAGES:
-        if package_name.startswith(pkg):
-            return False
-    return True
-
-
-# Compile the list of packages available, because distutils doesn't have
-# an easy way to do this.
-packages, package_data = [], {}
-
-root_dir = os.path.dirname(__file__)
-if root_dir != '':
-    os.chdir(root_dir)
-django_dir = 'django'
-
-for dirpath, dirnames, filenames in os.walk(django_dir):
-    # Ignore PEP 3147 cache dirs and those whose names start with '.'
-    dirnames[:] = [d for d in dirnames if not d.startswith('.') and d != '__pycache__']
-    parts = fullsplit(dirpath)
-    package_name = '.'.join(parts)
-    if '__init__.py' in filenames and is_package(package_name):
-        packages.append(package_name)
-    elif filenames:
-        relative_path = []
-        while '.'.join(parts) not in packages:
-            relative_path.append(parts.pop())
-        relative_path.reverse()
-        path = os.path.join(*relative_path)
-        package_files = package_data.setdefault('.'.join(parts), [])
-        package_files.extend([os.path.join(path, f) for f in filenames])
-
-
 # Dynamically calculate the version based on django.VERSION.
 version = __import__('django').get_version()
 
@@ -89,9 +41,12 @@ setup(
     description=('A high-level Python Web framework that encourages '
                  'rapid development and clean, pragmatic design.'),
     license='BSD',
-    packages=packages,
-    package_data=package_data,
-    scripts=['django/bin/django-admin.py'],
+    packages=find_packages(exclude=EXCLUDE_FROM_PACKAGES),
+    include_package_data=True,
+    entry_points={'console_scripts': [
+        'django-admin = django.core.management:execute_from_command_line',
+    ]},
+    zip_safe=False,
     classifiers=[
         'Development Status :: 3 - Alpha',
         'Environment :: Web Environment',
@@ -113,6 +68,7 @@ setup(
     ],
 )
 
+
 if overlay_warning:
     sys.stderr.write("""