If a private company puts idiots in charge (or rather unqualified individuals) then the company will most likely suffer -- loss of sales, extra expenses, costly mistakes etc. Primarily this affects the company itself (and other workers that dragged along with it.)
https://www.youtube....h?v=p5gS9BcH3AM
In the public sector, the consequences of having incompetent people affect us all. Best case scenario it's just a loss in tax revenue (a free salary for a family member)... at the worst, it puts unqualified people in positions of power and authority. Governmental power is much more important.
I think part of the reason why nepotism is so common here is that people are willing to overlook qualifications in favor of someone they can trust... apart from the whole
enchufado favoritism thing.