Up until fairly recent years, game programmers have consistently used a deep class hierarchy to represent game entities. The tide is beginning to shift from this use of deep hierarchies to a variety of methods that compose a game entity object as an aggregation of components. This article explains what this means, and explores some of the benefits and practical considerations of such an approach.
http://cowboyprogramming.com/2007/01/05/evolve-your-heirachy/