Used primarily as an intermediate in organic synthesis, this compound serves in the preparation of long-chain alkyl derivatives for pharmaceuticals and agrochemicals. Its reactivity allows for the introduction of palmitoyloxymethyl groups into molecules, facilitating the creation of ester-linked prodrugs or lipid-modified active ingredients. It is also employed in the synthesis of surfactants and functionalized lipids for use in drug delivery systems and biomimetic membranes. Due to its lipophilic nature, it can enhance membrane permeability in bioactive compounds. Handling requires caution due to potential hydrolytic instability and reactivity with nucleophiles.