Used as an intermediate in organic synthesis, particularly in the preparation of pharmaceuticals and agrochemicals. It serves as a building block for introducing iodo and nitro functional groups into more complex molecules. The compound is also employed in the development of dyes and pigments due to its aromatic nitro structure. Its iodo functionality allows for coupling reactions, such as Suzuki or Heck reactions, making it valuable in medicinal chemistry for constructing biaryl systems. Additionally, it has been explored in the synthesis of antimicrobial agents and other bioactive compounds where the nitrophenol moiety contributes to biological activity.