Asian Pacific Islander-owned businesses generated $5 billion in economic impact in the San Diego region in 2021, according to the findings of a new study.
The research, commissioned by the Asian Business Association of San Diego with support from the San Diego and Imperial Small Business Development Center Network, also set out to examine the impact of COVID-19 on the API-owned business community.
Using data from the U.S. Census Bureau, the study identified approximately 24,692 self-employed API residents in the county. More than 9000 API-owned businesses led to the creation of nearly 90,000 jobs, according to the study.
In addition, API-owned businesses contributed $43.4 million in revenue from local sales and property taxes.
The study found the businesses to be concentrated in Kearny Mesa and communities north of state Route 52, with downtown, Hillcrest, La Jolla, North Park and Pacific Beach represented as well.
Overall, local API-owned businesses comprise 13.2% of all businesses in the region, a greater share than API-owned businesses nationally, 10.2%.
Researchers also found San Diego API-owned businesses to have been disproportionately affected from the pandemic.
One of out 10 owners reported being racially harassed or discriminated against since early 2020. Nearly half identified a longer timeline for their businesses to return to normal operating levels as compared to businesses statewide or nationally.
“This report stands alone in the nation in providing the most current and in-depth look at API businesses,” said association president & CEO Jason Paguio. “The report’s findings and conclusions are critical to understanding the unique issues and challenges facing this business community.”
In addition to census data, the study and report relied on survey responses and economic modeling software.
The association plans to use the findings to help elected officials craft policies that better support minority-owned businesses.
San Diego City Council member Chris Cate said the report “will be considerably useful to (inform) the decisions of API job creators, as well as local government officials, as we work to move into a brighter future of financial solvency and success.”
Council President Sean Elo-Rivera added that the study “highlights the complexity of the challenges the API business community faces and the depth of their role as a pillar of San Diego’s economy.”
