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Importing modules from subdirectories as "implicit namespace packages" (PEP 420) inside a ZIP archive only works one level deep. Imports from within nested namespaces fail with "ImportError: No module named 'XXX'".
I am attaching an archive with example directory/file structure. To reproduce the problem, run the following from where you unzipped it:
python
>>> import sys
>>> sys.path += ['project1', 'project2.zip', 'project3', 'project4.zip']
>>> import parent.child.hello1
Hello 1
>>> import parent.child.hello2
ImportError: No module named 'parent.child.hello2'
>>> import parent.child.hello3
Hello 3
>>> import parent.child.hello4
ImportError: No module named 'parent.child.hello4'
>>> import boo
boo!
>>> import parent.boo
boo!
Tested on WinXP SP3 with Python 3.3.5 and 3.4.0rc3.