When you activate Use Component Lookup in the Morph deformer options, a componentMatch node is created using an algorithm that compares geometries, builds the correlation between verts, and then generates a pre-configured lookup table. This autogenerated lookup table feeds into the component list, so you don't need to create your own vert table.
To learn how to make lookup tables using the componentMatch node, see Create vert lookup tables with the componentMatch node.
The resulting lookup table uses this information instead of your vert IDs, letting you easily perform complex operations, such as having a part drive a whole or a whole drive a part. You can use the componentMatch node to drive other deformers.
The componentMatch node provides a Match Mode of Closest Point, so it compares vertices and matches them.
Uses topology mapping.