To develop an application that leverages Silverlight for Windows Embedded for a Compact 7 device, the development process typically involves the following steps:
1. Create a Compact 7 OS design with support for Silverlight for Windows Embedded using Platform Builder.
2. Create XAML code to describe the UI using Expression Blend 3.
3. Create the necessary event handler for the XAML code.
4. Port the XAML code project to the native code subproject for Compact 7 OS design using the Windows Embedded Silverlight tool.
5. Develop programming logic codes for the native code subproject to provide the required functions and features.
6. Configure and compile the native code subproject as part of the Compact 7 OS design for testing, debugging, and deployment.