JSFiddle - React, Tailwind, and code Playground

HTML

<div>
    <ul class="navigation">
        <li><a>Example 01</a></li>
        <li><a>Example 02</a>
            <ul class="subnav">
                <li><a>Lorem</a></li>
                <li><a>Impsum</a></li>
                <li><a>Dolor</a></li>
                <li><a>Sit</a></li>
                <li><a>Amet</a></li>
            </ul>    
        </li>
        <li><a>Example 03</a></li>
        <li><a>Example 04</a></li>
    </ul>                                        
</div>

CSS

.navigation li{
    display: inline;
    font-family: Arial, sans-serif;
    font-size: 12px;
    padding: 0 10px;
    position: relative;
}
.navigation li a:hover{
    color: #999;
}
.subnav li{
    display: list-item;
    padding: 5px 10px;
}
.subnav{
    border: 1px solid #000;
    width: 70px;
    position: absolute;
    z-index: 2;
    margin-left: 10px;
}

JavaScript

$(".subnav").hide();
$(".navigation li a, .subnav").hover(function(){
    $(this).parent().find(".subnav").stop().fadeIn(400);
}, function(){
    $(this).parent().find(".subnav").stop().fadeOut(400);
});