Not defending that particular application, but it is probably important for humans to make categories of things to be able to draw lines between them and find useful rules of how to deal with things. People like to make up labels for all kinds of (ir)relevant stuff and try to "other" people who are different in some way or to some degree. "my side, your side" stuff.
The important thing is, that we are also able to look beyond our categories and do not draw wrong conclusions from them. Keeping an open mind.