Clove essential oil (CEO) is a valuable natural product derived from the flower buds of *Syzygium aromaticum* (L.), widely used for its preservative and medicinal properties. The oil contains various bioactive compounds, including phenolics (eugenol and eugenol acetate), terpenes (β-caryophyllene and α-humulene), and hydrocarbons. These compounds have found applications in cosmetics, food, and medicine due to their antibacterial, antifungal, analgesic, antioxidant, anticancer, antiseptic, and anti-inflammatory properties. However, CEO can degrade due to environmental stress and processing conditions, affecting its quality and bioactivity. To address this issue, encapsulation strategies such as spray drying, ionic gelation, emulsification, and molecular entrapment are being explored to prolong the shelf life and improve the physicochemical stability of CEO. This review examines the phytochemical composition and biological activities of CEO, extraction methods, and encapsulation strategies, highlighting its potential applications in different industries. The main components of CEO, including eugenol, β-caryophyllene, and α-humulene, are discussed, along with their respective bioactive effects. The review also compares conventional extraction methods (steam distillation, hydrodistillation, and soxhlet extraction) with innovative techniques like supercritical fluid extraction, ultrasound-assisted extraction, microwave-assisted extraction, and ohmic heating-assisted hydrodistillation. Finally, the biological activities of CEO, particularly its antioxidant properties, are explored, including free radical scavenging, inhibition of free radical production, and conversion of free radicals into less toxic compounds.Clove essential oil (CEO) is a valuable natural product derived from the flower buds of *Syzygium aromaticum* (L.), widely used for its preservative and medicinal properties. The oil contains various bioactive compounds, including phenolics (eugenol and eugenol acetate), terpenes (β-caryophyllene and α-humulene), and hydrocarbons. These compounds have found applications in cosmetics, food, and medicine due to their antibacterial, antifungal, analgesic, antioxidant, anticancer, antiseptic, and anti-inflammatory properties. However, CEO can degrade due to environmental stress and processing conditions, affecting its quality and bioactivity. To address this issue, encapsulation strategies such as spray drying, ionic gelation, emulsification, and molecular entrapment are being explored to prolong the shelf life and improve the physicochemical stability of CEO. This review examines the phytochemical composition and biological activities of CEO, extraction methods, and encapsulation strategies, highlighting its potential applications in different industries. The main components of CEO, including eugenol, β-caryophyllene, and α-humulene, are discussed, along with their respective bioactive effects. The review also compares conventional extraction methods (steam distillation, hydrodistillation, and soxhlet extraction) with innovative techniques like supercritical fluid extraction, ultrasound-assisted extraction, microwave-assisted extraction, and ohmic heating-assisted hydrodistillation. Finally, the biological activities of CEO, particularly its antioxidant properties, are explored, including free radical scavenging, inhibition of free radical production, and conversion of free radicals into less toxic compounds.