OOPS stands for Object Oriented Programming System and refers to programming languages that follow object-oriented principles like inheritance, encapsulation, and polymorphism. Inheritance allows classes to inherit properties from parent classes and can be implemented in Java using the extends keyword, which allows a child class to inherit from a single parent class. When a child object is created, memory is allocated for both the child and parent classes through the use of constructors, with the child's constructor implicitly or explicitly calling the parent's constructor through the super() method.