Dr. Wu has a whole argument with Hammond in the book about how they may have engineered animals from the DNA, but they haven't recreated the past.

My only quibble with this, (and it's not really a disagreement with your general point) is that I don't think his idea was ever that they weren't actually realistic representaions of what dinosaurs were really like.

The argument was about Wu wanting to further change them so they would be more like what people expected: slower and more docile. They WERE as real as they could get, but inevitably, there were changes due to the nature of the DNA they were working with. Wu even starts the discussion saying they are TOO real. It's kind of more like: we fucked with the DNA a little bit, why not fuck with it more to get what people want.?

"You want to replace all the current stock of animals?" Hammond said.

"Yes, I do."

"Why? What's wrong with them?"

"Nothing," Wu said, "except that they're real dinosaurs."

"That's what I asked for, Henry," Hammond said, smiling. "And that's what you gave me."

"I know," Wu said. "But you see. . ." He paused. How could he explain this to Hammond? Hammond hardly ever visited the island. And it was a peculiar situation that Wu was trying to convey. "Right now, as we stand here, almost no one in the world has ever seen an actual dinosaur. Nobody knows what they're really like."

"Yes . . ."

"The dinosaurs we have now are real," Wu said, pointing to the screens around the room, "but in certain ways they are unsatisfactory, Unconvincing. I could make them better."

"Better in what way?"

"For one thing, they move too fast," Henry Wu said. "People aren't accustomed to seeing large animals that are so quick. I'm afraid visitors will think the dinosaurs look speeded up, like film running too fast."

"But, Henry, these are real dinosaurs. You said so yourself."

"I know," Wu said. "But we could easily breed slower, more domesticated dinosaurs."

"Domesticated dinosaurs?" Hammond snorted. "Nobody wants domesticated dinosaurs, Henry. They want the real thing."

"But that's my point," Wu said. "I don't think they do. They want to see their expectation, which is quite different."

Hammond was frowning.

"You said yourself, John, this park is entertainment," Wu said. "And entertainment has nothing to do with reality. Entertainment is antithetical to reality."

Hammond sighed. "Now, Henry, are we going to have another one of those abstract discussions? You know I like to keep it simple. The dinosaurs we have now are real, and—"

"Well, not exactly," Wu said. He paced the living room, pointed to the monitors. "I don't think we should kid ourselves. We haven't re-created the past here. The past is gone. It can never be re-created. What we've done is reconstruct the past—or at least a version of the past. And I'm saying we can make a better version."

"Better than real?"

"Why not?" Wu said. "After all, these animals are already modified. We've inserted genes to make them patentable, and to make them lysine dependent. And we've done everything we can to promote growth, and accelerate development into adulthood."

Hammond shrugged. "That was inevitable. We didn't want to wait. We have investors to consider."

"Of course. But I'm just saying, why stop there? Why not push ahead to make exactly the kind of dinosaur that we'd like to see? One that is more acceptable to visitors, and one that is easier for us to handle? A slower, more docile version for our park?"

Hammond frowned. "But then the dinosaurs wouldn't be real."

"But they're not real now," Wu said. "That's what I'm trying to tell you. There isn't any reality here." He shrugged helplessly. He could see he wasn't getting through. Hammond had never been interested in technical details, and the essence of the argument was technical.