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In this tutorial on Microsoft Word 2016, the speaker explains how to insert and modify text boxes. Text boxes are defined as separate content areas that add focus to specific sections of a document, distinguishing them from the main body text. The speaker uses a sample document to demonstrate the process, emphasizing that users can create customized text boxes instead of relying on built-in formats. The tutorial begins with navigating to the insert tab and selecting the text box option, leading to a practical example of drawing a text box for enhanced document layout.