Recall that a word over the alphabet $A\cup A^{-1}$ is a sequence of elements of $A\cup A^{-1}$ where $A^{-1}=\{x^{-1}:x\in A\}$.
The set of all the words over the alphabet $A\cup A^{-1}$ equipped with the operation of concatenation is called the free monoid over the set $A\cup A^{-1}$.
I saw in many books that in order to create a free group we have to introduce the equivalence relation that permits to "delete" the symbols like $xx^{-1}$ and $xx^{-1}$, namely that relation that defines reduced words. The monoid equipped with this relation and the operation of concatenation becomes a group and it is called free group.
Now, why do we need the relation? I mean, if we really need it, why in general we don't use it from the beginning when we speak of free monoids, namely, why a free monoid is defined without this relation?
thank you very much
In addition to the comments of Slade and Derek Holt, which are already a very good answer to your question, let me mention a property required for a free monoid, which holds also on an alphabet of the form $X = A \cup A^{-1}$: every map from $X$ to a monoid $M$ should extend uniquely to a morphism of monoids from the free monoid on $X$ to $M$.
Now take $M = \{0, 1\}$, with the usual product on integers and let $f: \{x, x^{-1}\} \to M$ be the map defined by $f(x) = 0$ and $f(x^{-1}) = 1$. If you extend it to $X^*$ you get $f(1) = 1$ (because $f$ has to a monoid morphism and then should send the identity of $X^*$ on the identity of $M$) and $f(xx^{-1}) = f(x)f(x^{-1}) = 0 \cdot 1 = 0$. Thus if you require $xx^{-1} = 1$, you get $0 = f(xx^{-1}) = f(1) = 1$, a contradiction.