Used as an intermediate in organic synthesis, particularly in the production of pharmaceuticals and biologically active compounds. Its cyclic amide structure with a hydroxymethyl group allows for functionalization in drug development, especially in the design of enzyme inhibitors and neuroactive agents. It also serves as a building block in the synthesis of pyrrolidine-based derivatives with potential cognitive-enhancing or neuroprotective properties. Additionally, it finds use in the preparation of specialty polymers and chiral auxiliaries for asymmetric synthesis.