Final answer:
A Special Economic Zone (SEZ) is the correct answer as it is a designated area in a country with relaxed regulations and simplified customs for the purpose of encouraging trade and investment.
Step-by-step explanation:
The geographic entity that offers manufacturers simplified customs procedures, operational flexibility, and a general environment of relaxed regulations is known as a Special Economic Zone (SEZ). SEZs are specific areas within a country that often have access to a port and where trade is encouraged through benefits like no taxation on trade and other government support. These zones aim to increase trade, investment, job creation, and effective administration. Mauritius is an example of a nation that has established SEZs and has seen above-average economic growth as a result.