Used as a key intermediate in the synthesis of pharmaceutical agents, particularly in the development of central nervous system (CNS) active compounds. Its structural features, including the hydroxy and carboxylic acid groups in a constrained cyclobutane ring, make it valuable for designing inhibitors or modulators of specific enzymes and receptors. The compound's stereochemistry plays a critical role in biological activity, especially in targeting neurological pathways. It is also employed in medicinal chemistry research to explore structure-activity relationships in cyclobutane-based analogs.