Used primarily as an intermediate in organic synthesis, this compound plays a key role in the development of pharmaceuticals, particularly in the construction of complex heterocyclic systems. Its structure supports ring-forming reactions and functional group transformations, making it valuable in drug discovery research. It is also employed in the preparation of bioactive molecules with potential neurological or anti-inflammatory activity. Due to the presence of both nitro and carbonyl groups, it serves as a versatile building block for reduction and condensation reactions, enabling the synthesis of amines, amino alcohols, and fused ring derivatives.