Yes, this is a pretty standard PMM interview question. When I ask, I am typically looking to see if the candidate understands product launch and go-to-market fundamentals. I'm also interested in which parts of the launch they led (i.e. was it a specific marketing channel or soup-to-nuts?).
I also like to ask different variations of this question, like "tell me about a product launch that did not go well and you had to get back on track" because let's be honest, not every launch goes exactly the way we plan :)