Your both right but it depends on the art and whos printing
in the case of say Donkey Kong if you get it from Inkjet sources youll have to cut it yourself.
if you get the silkscreen repro art its Plotter Cut or Die Cut.
In the case of FoodFight above since the full vinyl goes to the cabinets edge I screenprinted that on large sheets 36"x80"
But all my custom injet prints are usally plotter cut to the shape and size needed.
heres a shot of my latest printed ans plotter cut to orginal shape and size and measures aprox 30"x70"
might be hard to see but the art is allready plotter cut to that shape and size here