Used primarily as a synthetic intermediate in organic chemistry, this compound serves in the preparation of cyclobutane-based structures that are valuable in pharmaceutical and agrochemical research. Its strained ring system and functional groups allow for selective transformations, making it useful in building complex molecules. The presence of both carboxylic acid and methoxy groups enables diverse derivatization pathways, including esterification, decarboxylation, and ring-opening reactions. It is particularly relevant in medicinal chemistry for designing bioactive molecules where small, rigid scaffolds are needed to conformationally constrain pharmacophores.