This compound is primarily used in organic synthesis as a building block for the development of more complex molecules, particularly in pharmaceutical research. It serves as an intermediate in the synthesis of various indole derivatives, which are known for their biological activities. These derivatives are often explored for their potential therapeutic applications, including as anti-inflammatory, anticancer, and antimicrobial agents. Additionally, it is utilized in the preparation of dyes and pigments due to its structural properties, which allow for the creation of stable and vibrant colors. Its role in the synthesis of agrochemicals is also notable, contributing to the development of compounds used in crop protection and pest control.