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It's an algorithm, so multiple factors are weighted and taken into consideration such as reach, age, time on site, bounce rate, etc. If another site were equal in every respect, but had entirely unique content, it would rank better than the site that did not.
I like slim girls, redheads, and blowjobs, but also someone I can have a conversation with. If there is a hot petite redhead who is dumb as rocks but wants to give me a hummer, the other factors will likely compensate for her diminished IQ - at least in the near-term. However, if she introduces me to an equally attractive and promiscuous friend who is considerably more intelligent, she is probably going to find herself kicked to the curb.
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