With the Web, it's easier than ever to do business internationally - and it's still pretty darn hard. Even when the technological hurdles are removed, there are still many differences in culture, law, and economics to overcome. Many businesses are only now encountering these problems.
Subtle differences in culture can cause miscommunications, and sometimes these are codified into law, which every business even one operating from another country must follow. European countries, for instance, require much stricter privacy policies than the laissez-faire U.S. does. Some of these laws may strike outsiders as simply bizarre: Greece prohibits the advertising of toys.
But unless a way is found to tailor sites to each country's customs, Yahoo and everyone else doing business on the Internet could be forced to make each site comply with the laws of every country whose citizens might use it. That nagging feeling you had was right: As the world gets smaller, the headaches get bigg er.