diff --git a/crates/pixi_manifest/src/toml/workspace.rs b/crates/pixi_manifest/src/toml/workspace.rs
index 260331b823..ae0e9a97ff 100644
--- a/crates/pixi_manifest/src/toml/workspace.rs
+++ b/crates/pixi_manifest/src/toml/workspace.rs
@@ -107,13 +107,21 @@ impl TomlWorkspace {
         } = self.preview.into_preview();
 
         let warnings = preview_warnings;
+        let missing_field_name_error = Error {
+            kind: ErrorKind::MissingField("name"),
+            span: self.span,
+            line_info: None,
+        };
 
         Ok(WithWarnings::from(Workspace {
-            name: self.name.or(external.name).ok_or(Error {
-                kind: ErrorKind::MissingField("name"),
-                span: self.span,
-                line_info: None,
-            })?,
+            name: self.name.or(external.name).unwrap_or(
+                root_directory
+                    .ok_or(missing_field_name_error.clone())?
+                    .file_name()
+                    .ok_or(missing_field_name_error)?
+                    .to_string_lossy()
+                    .to_string(),
+            ),
             version: self.version.or(external.version),
             description: self.description.or(external.description),
             authors: self.authors.or(external.authors),
diff --git a/docs/reference/pixi_manifest.md b/docs/reference/pixi_manifest.md
index 481ae0ff5a..3250c508db 100644
--- a/docs/reference/pixi_manifest.md
+++ b/docs/reference/pixi_manifest.md
@@ -36,14 +36,6 @@ The minimally required information in the `project` table is:
 --8<-- "docs/source_files/pixi_tomls/simple_pixi.toml:project"
 ```
 
-### `name`
-
-The name of the project.
-
-```toml
---8<-- "docs/source_files/pixi_tomls/main_pixi.toml:project_name"
-```
-
 ### `channels`
 
 This is a list that defines the channels used to fetch the packages from.
@@ -82,6 +74,14 @@ The available platforms are listed here: [link](https://docs.rs/rattler_conda_ty
     Fallback: If `osx-arm64` can't resolve, use `osx-64`.
     Running `osx-64` on Apple Silicon uses [Rosetta](https://developer.apple.com/documentation/apple-silicon/about-the-rosetta-translation-environment) for Intel binaries.
 
+### `name` (optional)
+
+The name of the project. If not defined, the root directory name will be assumed as the project name.
+
+```toml
+--8<-- "docs/source_files/pixi_tomls/main_pixi.toml:project_name"
+```
+
 ### `version` (optional)
 
 The version of the project.
diff --git a/docs/source_files/pixi_tomls/simple_pixi.toml b/docs/source_files/pixi_tomls/simple_pixi.toml
index d7d041eb82..2b7f0c9cfa 100644
--- a/docs/source_files/pixi_tomls/simple_pixi.toml
+++ b/docs/source_files/pixi_tomls/simple_pixi.toml
@@ -2,6 +2,5 @@
 # --8<-- [start:project]
 [workspace]
 channels = ["conda-forge"]
-name = "project-name"
 platforms = ["linux-64"]
 # --8<-- [end:project]