4-Benzamidobenzoic acid is primarily utilized in the field of organic synthesis, where it serves as a key intermediate in the production of various pharmaceutical compounds. Its structure, featuring both an amide and a carboxylic acid group, makes it a versatile building block for creating more complex molecules.

In medicinal chemistry, it is often employed in the development of drugs targeting inflammation and pain, as it can be modified to enhance binding affinity to specific biological targets. Additionally, it is used in the synthesis of dyes and pigments, contributing to the vibrant colors in textiles and industrial materials.

Its role in research extends to the study of molecular interactions and crystal engineering, where its unique properties help in understanding structural motifs and designing new materials with specific functionalities.