Reformulating the maximal margin classifier optimization problem
If $(\beta, \beta_0)$ satisfies the inequality $(4.47)$, then for any positive $k$, $k&gt;0$, $(k\beta, k\beta_0)$ would satisfies the inequality as well.

Also, $(\hat{\beta}, \hat{\beta}_0)=\left( \frac{\beta}{M\|\beta\|}, \frac{\beta_0}{M\|\beta\|} \right)$ satiesfies the inequlity as well since 

$$y_i(x_i^T\hat{\beta}+\hat{\beta}_0)=\frac{y_i}{M\|\beta\|}(x_i^T\beta+\beta_0) \ge \frac{M\|\beta|}{M\|\beta\|}=1=M\|\hat{\beta}\|$$

Let's find $\hat{\beta}$ and $\hat{\beta}_0$ directly. Note that $\hat{\beta}$  satisfies the property that $\|\hat{\beta}\|=\frac1M.$

Hence we let $\|\hat{\beta}\|$ to be $\frac1M$, hence reducing the inequality to be 

$$y_i(x_i^T\hat{\beta} + \hat{\beta}_0) \ge 1$$
$$\|\hat{\beta}\|=\frac1M$$

We want to maximize $M$, hence, we minimize $\frac1M$, which is equivalent to minimizing $\frac12\|\hat{\beta}\|^2$.