Internalized racism is the situation that occurs in a racist system when a racial group oppressed by racism supports the supremacy and dominance of the dominating group by maintaining or participating in the set of attitudes, behaviors, social structures and ideologies that undergird the dominating group's power. It involves four essential and interconnected elements:

Decision-making — Due to racism, people of color do not have the ultimate decision-making power over the decisions that control our lives and resources. As a result, on a personal level, we may think white people know more about what needs to be done for us than we do. On an interpersonal level, we may not support each other's authority and power — especially if it is in opposition to the dominating racial group. Structurally, there is a system in place that rewards people of color who support white supremacy and power and coerces or punishes those who do not.

Resources — Resources, broadly defined (e.g., money, time, etc.), are unequally in the hands and under the control of white people. Internalized racism is the system in place that makes it difficult for people of color to get access to resources for our own communities and to control the resources of our community. We learn to believe that serving and using resources for ourselves and our particular community is not serving "everybody."

Standards — With internalized racism, the standards for what is appropriate or "normal" that people of color accept are white people's or Eurocentric standards. We have difficulty naming, communicating and living up to our deepest standards and values, and holding ourselves and each other accountable to them.

Naming the problem — There is a system in place that misnames the problem of racism as a problem of or caused by people of color and blames the disease — emotional, economic, political, etc., on people of color. With internalized racism, people of color might, for example, believe we are more violent than white people and not consider state-sanctioned political violence or the hidden or privatized violence of white people and the systems they put in place and support.

Source: http://www.racialequityresourceguide.org/about/glossary