diff --git a/Dockerfile b/Dockerfile
index 15993905..03d0b60a 100644
--- a/Dockerfile
+++ b/Dockerfile
@@ -3,21 +3,29 @@ from ubuntu
 
 # Patch and Install Dependencies
 RUN apt-get -y update && apt-get -y upgrade
-RUN apt-get -y install git python-dev make python-pip libpq-dev
+RUN apt-get -y install git python-dev make python-pip libpq-dev 
+RUN apt-get -y install postgresql postgresql-contrib
+
+CMD mkdir -p /app && chown -R postgres:postgres /app
 
 # Add the application code to the image
-ADD . /root/
+ADD . /app/
 
 # Set a working directory
-WORKDIR /root/
+WORKDIR /app/
 
 # Build the application
-RUN make install
-RUN python manage.py migrate --settings=config.local
+RUN pip install -r requirements.txt --upgrade
 
-# Build the v2 database
-RUN printf "execfile('data/v2/build.py')" | python manage.py shell --settings=config.local
+# Start postgres database and use it while it is running in the container
+# Create the default db user (ash) 
+RUN sudo -u postgres service postgresql start                                 && \
+    sudo -u postgres psql --command "CREATE USER ash WITH PASSWORD 'pokemon'" && \
+    sudo -u postgres createdb -O ash pokeapi                                  && \
+    python manage.py migrate --settings=config.docker                         && \
+    printf "from data.v2.build import build_all; build_all()" | python manage.py shell --settings=config.docker
 
 # Expose the app and serve the API.
 EXPOSE 8000
-CMD python manage.py runserver --settings=config.local 0.0.0.0:8000
+CMD service postgresql start && python manage.py runserver --settings=config.docker 0.0.0.0:8000
+
diff --git a/config/docker.py b/config/docker.py
new file mode 100755
index 00000000..e72a71c5
--- /dev/null
+++ b/config/docker.py
@@ -0,0 +1,16 @@
+# Docker settings
+from .settings import *
+
+DATABASES = {
+        'default': {
+            'ENGINE': 'django.db.backends.postgresql_psycopg2',
+            'NAME': 'pokeapi',
+            'USER': 'ash',
+            'PASSWORD': 'pokemon',
+            'HOST': 'localhost',
+            'PORT': '',
+        }
+}
+
+DEBUG = True
+TASTYPIE_FULL_DEBUG = True