What does a crane do? Where have you seen cranes like this?
What do the outriggers do? They are the things that move indicated in the picture.
What happens when you turn the yellow lights at top? Why do you think you would want all the wheels to turn, and not just the front two wheels? How does this work? Look at the things that are moving in the crane as you turn the yellow lights.
On the back of the crane, there are black things that say 2T. What do they do on real cranes? Why are they important?
For all these questions, talk about the gears and axles.
A) What happens when you turn the front nob on the right?
B) What happen when you turn the back nob on the right?
C) What happens when you turn the nob on the left?
This how Stuff Works Article might help you.
This is a picture of a real crane. It is quite similar to Lego Crane, except the Lego crane has only one telescoping section.
Here is a link to a How Stuff Works Article on Cranes.
And a video: