Used as a key intermediate in the synthesis of pharmaceuticals, particularly in the development of compounds with central nervous system activity. It serves as a building block in the preparation of selective receptor modulators, including those targeting serotonin and dopamine receptors. Its structure allows for functionalization at multiple sites, making it valuable in medicinal chemistry for creating analogs in drug discovery programs. Also employed in the production of agrochemicals and fine chemicals where substituted indanone scaffolds are required.