That kind of submenu are not supposed to be used in PDFs, they are more for HTML5 and Flash (which I would not recommend anymore).
Of course, it could be done, very complicated with a number of PDF buttons toggling visibility, but this would make the PDF huge, complicated and it would not work on every device or computer. I strongly recommend to avoid this kind of navigation inside any PDF.
Thank you. Instead of an interactive pdf document, would it be possible to use the flash buttons feature in InDesign and export as an SWF? Is it possible to make nested buttons?
With SWF it would be possible, but Flash is a dying specie, even Adobe Flash looses flash, at least in its name as it is renamed to Adobe Animate.
I would recommend not to use Flash anymore as many smart phones or tablets, if not all of them, cannot use it.
Why does this have to be PDF? In fact, why does it need to be done with InDesign?
If you can tell us the target we might be in a better position to offer you some advice.