Do cheap wood chisels need sharpening out of the box?

Almost always, yes. Across verified-purchase reviews and r/woodworking threads, the consensus is that budget chisels (and even many mid-range sets) arrive with backs that aren't lapped flat and bevels that aren't truly honed. Reviewers consistently note that with a honing guide and a sharpening stone, inexpensive CR-V chisels can be brought to a genuinely sharp, usable edge.