This compound is primarily utilized in organic synthesis as a building block for more complex molecules. It is often employed in the preparation of pharmaceuticals, particularly in the development of anti-inflammatory and analgesic drugs. The iodine atom in its structure makes it a valuable intermediate for further functionalization through cross-coupling reactions, such as Suzuki or Heck reactions, which are essential in drug discovery and development. Additionally, its phenylacetic acid moiety is beneficial in designing compounds with biological activity, particularly those targeting enzymes or receptors in the human body. Its application extends to research settings where it is used to study structure-activity relationships in medicinal chemistry.