We start by installing the dependency packages in step 1. Since we are going to use a Python virtual environment for our development, we install the virtualenv package as well. The Python libvirt module is going to be installed in the virtual environment with the pip package manager, since we don't want to pollute the host with extra packages.
In step 2, we create and activate a new Python virtual environment and install the Python libvirt module in step 3.
Finally in step 4, we install and start the iPython development tool, which we are going to use throughout this chapter.