Z-Phe-Ala-OH is primarily used in peptide synthesis as a protected dipeptide. It serves as a building block in the creation of more complex peptide structures, particularly in solid-phase peptide synthesis (SPPS). The Z-group (benzyloxycarbonyl) acts as a protective group for the amine functionality, ensuring selective reactions at other sites during the synthesis process. This compound is valuable in research and development of biologically active peptides, including enzyme inhibitors, hormones, and therapeutic agents. Its application is crucial in studying peptide interactions, structure-activity relationships, and drug discovery.