> Could you please explain me in brief the working of the compressor and the decompressor.
Sorry, but I don't explain anything for you. Please read codes and documents in the repository. Note that LZ4 repository has its entire history, so you can study older and simpler LZ4.
You can also find many LZ77 (de)compressor on the Internet and CS related books. Or ask your teachers about it. I'm 100% sure they'll happily recommend many good books for you.
> I understood everything on the ReadMe files, but none of them actually explains the working of the compressor or decompressor.