Free Zones are designated areas within a country where goods can be imported, manufactured, and exported without the usual customs duties and regulations. These zones aim to promote trade, attract foreign investment, and boost economic activity by providing businesses with a more flexible operating environment. Companies operating in Free Zones often benefit from tax incentives, streamlined procedures, and reduced bureaucratic hurdles. This encourages both local and international businesses to set up operations, leading to job creation and increased economic growth in the surrounding regions. Examples of Free Zones include the Dubai Free Zone and the Shenzhen Special Economic Zone.