The situation you are describing does seem really weird. I agree it may just be more of a language barrier than something malicious. It never hurts to be extra cautious though.
I always ask if I want to take a picture of someone else's dog. People are always taking pictures of Rory and Lane. Most of them ask, but I have seen some just snapping away from a distance. I know a large part of it is probably that they are always dressed in matching outfits with bows. I'm sure most people have the best intentions and just think the girls are cute. It can get annoying though having to stop every 2 feet at a festival or something because people want a picture. I even zipped up the stroller at an event a few weeks ago, because people kept stopping us, but I guess you could still see too easily through the mesh - it did little to deter it, heh. It is a compliment I suppose, but it's just the "norm" to me to having little dogs running around dressed up.

I think my fiance likes the attention! Most of the time he is left to push the stroller or hold the leashes while I shop, since often I just want to get on with my day and I don't think Rory and Lane should have to be nude to do it!