Google defines the term ‘nepotism’ to be the “practice among those with power or influence of favouring relatives, friends, or associates, especially by giving them jobs.”
Nepotism is thus a practice that can be seen in workplaces and in areas of politics where privileges are given to close ones of those in power.
Nepotism is essentially bad. It poses a negative consequence to society. In this sense, those who are actually skilled and talented are deprived of equal opportunities and rights. Those favoured, again, would be sub-par in nature and would, in turn, produce sub-par results, thus negatively impacting society.