There is no "Little Italy" in San Pedro. There is a group trying to create a designation, but there is no Little Italy like San Diego has, which is a well defined, designated area.
There are some nice restaurants and delis, but not enough to make a day of it Downtown Long Beach has far more going on with Shoreline Village, the Aquarium of the Pacific, the outlet stores, and then the shopping areas on Pine and side streets.
Downtown Long Beach has far more hotels then San Pedro, variations of Marriott, Westin, Hyatt, Sheraton, Best Western, etc. It also has more restaurants and more to do.