I think one of the biggest things people should take from this is that it's a very subjective matter that needs discussion at the highest level. At what point is the line crossed between being culturally/ educationally ignorant and being racist? How do you separate the two? And at what point is punishment due?
I can understand being offended by being singled out through your race or conplextion, but not the entirety of the world is versed in these issues and are most likely ignorant to the fact they could be taken in a derogatory fashion. In which case education during training on this matter is needed, worldwide, if you are to take part in such events.
I feel sorry for both of them.