Nepotism

We all have heard stories of the boss's son taking over the company and then driving it into the ground. And yes, that does happen far more often than it should. But most of us dream of building a company that we will one day pass down to our children so apparently nepotism doesn't bother us all that much.

Nepotism is really a problem when the person being shown the favoritism (for whatever reason) is completely unqualified for the position they are being placed in.

Not only does the business suffer directly but its truly qualified employees will begin to seek out job opportunities elsewhere so the company gets a double whammy.

If the boss's son has a degree in business then the other employees aren't going to be as resentful when he joins the company at the management level instead of having to work his way up. The minor mistakes he makes will be easier to overlook and chalk up to lack of experience instead of total ignorance.

Businesses should always hire qualified people. "Best" qualified is a term that is hard to truly define because while one person may have more experience they might also be known for job hopping so it might be better to hire the person with less experience but who is more likely to be around 3 years from now.

So basically as long as the person is QUALIFIED, nepotism isn't a big problem for companies to overcome.

You can find the full transcript of Chris Rock's show "Bigger and Blacker" here.