What is Google Penalty?

A Google penalty is the negative impact on a website's search rankings based on updates to Google's search algorithms or manual review. The penalty can be a by-product of an algorithm update or an intentional penalization for various black-hat SEO techniques
 
Google penalty means your site dropping ranks. It usually happens when over optimise your sites (high keyword density and such), spammy backlinks, duplicate contents, etc. Once your site is penalised, it may be hard to recover, thats why NEVER buy backlinks; spammy backlinks are among the main reason for google to penalise a site.
 
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