Used as an intermediate in organic synthesis, particularly in the production of polymers and specialty chemicals. It serves in the preparation of biodegradable plastics due to its ability to participate in condensation reactions forming polyesters and polyamides. Also utilized in the synthesis of pharmaceuticals and agrochemicals where a functionalized three-carbon backbone with amide and hydroxyl groups is required. Its polarity and hydrogen-bonding capacity make it suitable as a solvent or additive in certain chemical formulations requiring water solubility and moderate reactivity.