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Answer to questions 1 and 2:
Most of the business logic is already written for you. You'll fill the gaps with the most appropriate technology. If you're filling a gap in Logistics on R/3, you'll use ABAP. If it's some portal technology, you'll use Java.
Answer to question 3:
ABAP does not come with a class library anywhere nearly as extensive as Java's. Many ABAP programmers have grave difficulty adopting the OO paradigm, and ABAP is probably one of the worst languages to learn OO. I learned OO through Java and now apply it to ABAP.
Some organizations have allowed programmers to use OO techniques, but in the hands of people who don't really "get it", they've ended up with a mess. It's a lot easier to write REALLY bad code in OO.
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