the inability of alcohol to backup ur dvds is a software limitation, not ur dvd drive's problem. alcohol detects that the dvd still has CSS protection, so it'll refuse to back it up. u need a dvd ripping program that will circumvent the protection, such as CladDVD or DVD Decrypter, in order to rip the files to ur hard drive. from there u can do whatever u want with the ripped files.
as for region protection, there are many drives that can be made region free. u can go to The Firmware Page and see which drives are capable of being made region free, either through firmware flashes or with the use of utilities that patch the firmware. a very popular drive is jlms/lite-on's 166S, which i own myself.