A great system makes a mediacore recording sound more mediacore.
It is not so simple... Why?
Because there is the sound perception,
And with it the musical evaluation...
When the recording is "bad", you lost many information which are confused and missing ...But in a very good audio system in a very well controlled room, you will, you easrs/brain will decipher more acoustical cues from the recording and with the help of the room acoustic control, the recording improved acoustic translation will reveal a bit "more" about the way the recording is flawed and what is missing or confused...
Then the recording will not be perceived to be more merely only mediocre but in the opposite more "interesting" and more informational acoustically .... Then you will forget more easily the acoustic because your music evaluation will be more easy...
A good system ONLY in an ordinary room perhaps will make mediocre recording more mediocre why?
Because good audio systen in uncontrolled room are often too much "analysing" and the acoustical details kill the musical forest... But the same system in a controlled and well treated room relatively to it, will reveal more about soundstage, imaging, dynamic, timbre perception and even the ratio LEV/ASW will be better... Then your attention will focus more easily on the music ...
The acoustic perception being improved, musical evaluation will become easier...
Then in conclusion: If an audio system made mediocre recording always worst, of two things one : your system is too analytic or badly flawed or of your system is good but the room is not well treated nor well mecanichally controlled and tuned for this specfic audio system....A good system in a bad room is easily harsh sounding, or too analytic, too resolving and not enough in phase with the room acoustic bass will not be ideal nor clear for example etc....
In a word, a good system in a well optimized room dont make "bad" recording good one, but make "bad" recording " interesting" one, more easy to decipher then it will be way more easier for your focus and attention to shift on the music forgetting what is distorted information only or missing in the sound...