I'm confused about the meaning of "take place" in the following.
Their advice is to hold onto your "core" competencies..... More recent versions of the idea ask the same question---Which functions belong in the core?---for headquarters versus divisions or other operational units. This question is important for strategics analysis: you study which functions take place in your industry, and where, both among your competitors and in your operations. Core competencies can help organize a large company into units of common strength.
I know the literal meaning of "take place"---happen/occur.
But when they say "some functions happen/occur in your industry," it sounds strange to me. In the text, I understand "functions" as meaning various work in a company or a organization such as sales, marketing, design, and so on. Is this correct?