Used as a substrate in enzymatic assays to measure lipase activity, particularly in biochemical research and diagnostics. Its hydrolysis by lipases produces 4-nitrophenol, which can be easily quantified spectrophotometrically due to its strong absorbance. This property makes it a valuable tool for studying enzyme kinetics and screening lipase inhibitors. Additionally, it is employed in industrial applications to evaluate the efficiency of lipases in detergent formulations and biofuel production. Its stability and specificity make it a reliable choice for these analytical and industrial purposes.