Used as a key intermediate in the synthesis of pharmaceuticals, particularly in the development of thiazole-based drugs which exhibit antimicrobial, anti-inflammatory, and antitumor activities. Its hydroxyl and phenylthiazole functional groups allow for easy modification in drug design, making it valuable in medicinal chemistry for creating bioactive molecules. Also employed in the preparation of agrochemicals and dyes due to its stable heterocyclic structure and reactivity.