What Simpson Verdict May Say About Doing Business in California : Industry: Executives at local companies see in the case a sign of underlying ethnic tensions that could hurt the region’s economy.

Business executives in Southern California watched the O.J. Simpson verdict last week with the same mix of emotions as the rest of the population.

But, ever mindful of the shaky state of the state’s economy, they also saw the verdict and its aftermath as a sign of underlying racial tensions that could have repercussions for the region’s business climate.

Some minority business people interviewed by The Times think the widely differing reactions to the verdict underscore a growing rift among various ethnic groups, a sense of suspicion or distrust that threatens the common good.

Although businesses said they had seen no immediate discord among workers of different races or ethnic groups, or any disruption from customers, they fear that continued tensions could convey a message that the region is bad for business or hostile to minority entrepreneurs.

They added, however, that such tensions are nothing new. They cite as examples the approval of Proposition 187 last year, widely perceived by Latinos as discriminatory against them, or by recent moves to curtail affirmative action programs, which affect many minority-owned businesses that have government contracts.

However, other business people felt the circuslike atmosphere surrounding the trial was symptomatic of the media hype that has exaggerated ethnic conflicts. They argued that such negative coverage can only harm the economy by sending a message of uncertainty to potential investors.

Still others said the undue focus on issues between blacks and whites is diverting attention from the more complex relations among all the ethnic groups in Southern California.

The Times talked with several business people from different walks of life to assess their feelings on the matter and learn what might help ease the tensions. Here’s what they said:

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Timothy J. Adams, an African American, is president and chief executive of Systems Applications & Technologies, an Oxnard engineering services firm, and the Small Business Administration’s 1995 Los Angeles Minority Small Business Person of the Year:

“One of the reasons we may be lagging the rest of the nation in the recovery is that we’re not all pulling at the same rope. Rather than focusing on economic development, we’re just focusing blame. . . . We need to be concentrating as a state as a whole on taking a greater share from the rest of the country rather than infighting among ourselves.

“There has been a lot of tension, and more of the tensions are surfacing. . . . We may just be getting a clearer picture of those tensions now.

“We’ve had so much rhetoric going on, not only in the financial and business community, but also in the political community: finger-pointing as to where the problems lie and who’s causing them.

“I think it’s more complex than black and white. African Americans historically have been at the forefront as an easy target. But it goes beyond African Americans, particularly in this area. The Latino community as well . . . is being made a target.”

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Linda Aceves-Dabbs, a Mexican American, is owner and president of Protospace Engineering, a machining, grinding and thermal-metal coating shop in South El Monte:

“I was born in L.A. and went to school in these areas. . . . [Yet] I find it necessary . . . to validate ourselves all the time.

“I’ve been in business 25 years. . . . I try not to identify my business as woman-owned or disadvantaged, because it can work against you [these days]. I definitely feel there’s a real trend [of growing racial tensions]. . . . Our only chances are to do business with one another.

“I feel sometimes that there is more [tension] because there are more minorities. Is it because other cultures . . . are afraid if there’s too many of us that there might be power struggles? It’s hard to say. . . . I definitely see that it’s a lot different today. . . . Racism is not as subtle; it’s right out in the open.

“I’ve heard a major public utility [official] tell one of my salespeople that he didn’t appreciate doing business with companies that came in, as he put it, through the back door, meaning through a minority program. . . . I believe that there’s distrust because we don’t understand each other’s cultures. . . . And that’s counterproductive.”

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Wilford (Woody) Godbold Jr., who is white, is president and chief executive of Zero Corp. in Los Angeles and member of Gov. Pete Wilson’s Council on California Competitiveness:

“I think the issue [of racial tensions] is created by the media and exacerbated by the media. . . . People can get along a lot better by themselves without being inflamed by the newspapers or television.

“I’m concerned about it. The O.J. trial was a media circus. . . . I think the media is trying to find race-relation tensions and is playing them up, and is not balanced, because I think a lot of people respect each other in this county.

“The vote on Proposition 187 was focused on illegal aliens only and did not focus on racial matters, though it was portrayed that way by the print media. . . . I would have drafted 187 differently, but I think the problem of illegal aliens in California and the U.S. is a problem we need to focus on. We have a limited amount of resources, and we need to know how to distribute those resources.

“I feel the perceptions that can be created by the media can be deleterious to the state’s economy. If we look at individual workers in the state, we have some of the best ones. . . . If the press decides to write about race tensions, it will make it very difficult for Southern California.”

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Wesley Ru, a Chinese American, is owner and president of Western Badge & Trophy Co. in Los Angeles and former co-chairman of Gov. Wilson’s presidential campaign:

“My factory is right in the eye of the storm here, at [the intersection of] Washington and Vermont. Consequently, we deal with [race] on a more intimate basis daily. Is there tension? Definitely. Is it publicized too much? Yes.

“I think that we need to focus on how the different groups of people are able to . . . work together to bridge those differences, and focus less on the tensions. And I believe that each community needs to educate its own people on the fact that there are different kinds of people.

“It’s a natural phenomenon that people are going to be skeptical of other people that they live side by side with. . . . I don’t think this will ever become a model racial community. But since we’ve already established that, we need to go ahead and figure out ways to deal with that.

“I think . . . blacks and whites have traditionally been at the center point of racial issues. But there are many more complex issues dealing with other races, and between Hispanics and blacks, and Asians and Hispanics, and all combinations.

“Everything affects the economy. When you have a community that is divided, it’s difficult to formulate policies, manage the growth or plan for growth. . . . A tremendous amount of resources are spent trying to quell differences among people which could be spent on positive proactive programs to benefit the city in education, parks and recreation, etc.”

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Ernest M. Camacho, the Latino president and chief executive of Pacifica Services, a civil and electronic engineering firm in Pasadena. Camacho is a longtime associate of Los Angeles Councilman Richard Alatorre:

“I think there is a mood swing against small and minority business, and the programs intended to aid those firms.

“I think when you look at the whole mood here in California and across the country, [minority] small businesses and businesses in general have an uphill battle. It creates a great deal of tension in the communities, and it’s pitting groups against one another.

“We’ve all heard and read about the growing trend in government against minority business in general and minority programs, and those being attacked are ones created to assist the disenfranchised to compete on a level playing field.

“The issue is being used as a political football here in California, starting with the passage of 187 . . . intended to divide and conquer the minority communities.

“We continue to fight for crumbs instead of coming together and going after a larger share of the procurement opportunities. We have a great deal at risk here.”