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In this video tutorial, the instructor demonstrates how to create a dependent drop-down form field in a fillable form. The example provided involves asking the user a question, and depending on their answer, the options available for the next question will be determined. The process involves setting up a drop-down menu for the first question (employee status) with options for active or inactive, and then adjusting the options for the next question based on the user's selection. This technique is referred to as a dependent drop-down and the tutorial walks through the steps to implement it.