Describe the issue:
According to support-for-helm-and-kustomize-for-aks-service-target test.
Update azure.yaml, run azd up, get error as follow:

Manually adding AZURE_RESOURCE_GROUP to env, rerun azd up get error as follow:

How to obtain the follow folder ./kustomize/base?

Repro Steps:

1. Login in with command: azd auth login and azd config set alpha.aks.kustomize on.
2. Execute command: azd init -t todo-nodejs-mongo-aks -b staging and update azure.yaml.
3. Run azd up.

Environment:

• Template: todo-nodejs-mongo-aks.
• Azd version : 1.7.0-beta.1-daily (commit 81f3efd)

Expected behavior:
Run azd up can pass.

@rajeshkamal5050 for notification.