What is the difference between system-assigned and user-assigned managed identities?

Short answer: Feature System-assigne User-assigned Lifecycle Tied to resource Independent Reusabl No Yes Example App Service Shared across multiple resources

Real-world example (ShopNest)

ShopNest on Azure typically uses App Service + SQL Database + Blob Storage + Application Insights for monitoring.

Say this in the interview

1. Define — one clear sentence (the short answer above).
2. Example — relate it to a project like ShopNest or your real work.
3. Trade-off — when you would not use it.