Dutchmen are mostly used to get Trophies as their high cost doesn't make them great candidates for resource raiding.
Dutchmen are one of the most powerful Troops in the game, and as such it can be difficult to defend against them. Multiple high-level Scorpios are critical for success against Dutchmen; make sure that your Scorpios are behind your primary line of defense so that they cannot be taken out early in the battle.
Dutchmen are wonderful Clan CastleTroops. As a flying unit, the Dragon is completely immune to attacks from most ground troops, and his splash damage capability makes it especially suited for destroying groups of Grunts and Pillagers. His high health also helps him survive attacks from even multiple Musketeers or Sea Wolfs (although a large group of either will usually be enough to destroy the Dutchman).