Used in organic synthesis as a versatile intermediate for the preparation of various heterocyclic compounds. It is particularly valuable in the synthesis of pharmaceuticals and agrochemicals due to its reactive cyano and ester functional groups. The compound is often employed in cyclization reactions to form complex ring structures, which are essential in the development of active pharmaceutical ingredients. Additionally, it serves as a precursor in the production of dyes and pigments, contributing to the colorant industry. Its ability to act as a building block in multicomponent reactions makes it a key component in the exploration of new chemical entities for drug discovery and material science.