Used as an intermediate in organic synthesis, particularly in the preparation of pharmaceuticals and agrochemicals. Its structure allows for selective functionalization through nucleophilic aromatic substitution or cross-coupling reactions, such as Suzuki or Heck reactions, where the iodo group acts as a reactive site. The presence of the nitro and methoxy groups provides electronic effects that facilitate these transformations. Commonly employed in the development of dyes, functional materials, and bioactive compounds due to its versatility in building complex aromatic systems.