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In this video tutorial, the presenter explains how to create a dependent drop-down form field in a fillable form. The example used is asking the user a question, and based on their answer, the options for the next question will change. The process involves setting up a drop-down menu for question one (employee status) with options active or inactive, and then adjusting the options for question two based on the user's selection for question one. This is called a dependent drop-down form, and the tutorial provides a step-by-step guide on how to set it up.