The term “racism” can be used in different ways. I don’t know if they are all correct, but if they are, according to some meanings of the term, it’s wrong, whereas according to other meanings, it’s not wrong.
Negative usages of the term would include:
1. Making false negative assumptions about a group of people, such as some of the stereotypes people have about Jews.
2. Treating others unfairly simply because of their race.
3. Taking a generalization (whether or not it is generally correct) and applying it to each individual in the group even if it doesn’t necessarily apply to each individual.
Correct usages of the term:
1. Acknowledging that certain traits might be more widespread amongst certain groups, but making sure to base this on facts and not assuming that these traits apply to each individual in the group.