Used primarily as an intermediate in organic synthesis, particularly in the production of pharmaceuticals and fine chemicals. It serves as a building block for the development of active pharmaceutical ingredients due to its cyclic amide structure, which can be readily modified. Also utilized in the synthesis of nootropic compounds and derivatives related to cognitive enhancers. Its solubility and stability make it suitable for use in various reaction conditions, including catalytic hydrogenation and nucleophilic substitution. Additionally, it finds application in research settings for the development of novel heterocyclic compounds.