Used in organic synthesis as a building block for more complex molecules, particularly in the development of pharmaceutical compounds. Its structure is valuable in creating indole-based derivatives, which are often explored for their potential biological activities, such as antimicrobial or anticancer properties. Additionally, it serves as a key intermediate in the synthesis of dyes and pigments due to its nitro and bromo functional groups, which can enhance color properties. Researchers also utilize it in studies focused on heterocyclic chemistry to understand reaction mechanisms and develop novel chemical entities.