Should hiring be based on networking or experience?

I’ve been applying for the same job at a hospital for probably six months now. I’m qualified, and honestly have no clue why I haven’t gotten a call. The online applications are kind of sketchy and don’t always send through. Its for an admissions rep. in a Hospital and the turn around rate for employees is outstanding, so there is always an application online.

But recently a friend of mine tells me that she got an interview for the same position. All because she knows several people that work in this department. She doesn’t have half of the experience that I do, and shes already been interviewed. Shes been polite about the entire situation, telling me that shes brought me up to the interviewer and her friends, telling me that she’ll help me get hired if they hire her, etc. But still…

Is this fair? Should companies be allowed to hire people because of networking? Shouldn’t the job go to the qualified applicant?

I do wish the best for my friend, but I feel like I’m kind of being punished for not knowing the “right people”.