Abstract: The research subject of this article is business education as an education service. The matter under study is business education development in the USSR and modern Russia. The author analyzes essence and form of Russian business education at different stages of development. The article reflects the mechanism of influence by late XX century's radical political and economic changes concerning education, and enhanced demand for education services. The author draws attention to peculiarities of education services in general and business education in particular.The methodological basis of this research includes historic, functional, social methods, and XX-XXI century Russia's business education development's economic analysis.The main conclusions reached by the author can be summarized in the following way. Russian business education dates back to more than a century, though the term itself is comparatively new. On different stages of development, its organizational forms and structure were changing, however but the main goal was the same: to train qualified managers and directors. Nowadays management in education itself is a separate branch of business education. The state used to be the customer of this service, but under market economy, private enterprises and citizens who want to be managers, but lack the experience, become the target audience. It motivates a growing demand for educational services even in the times of crisis.The novelty of this article is condensed in the author's efforts to distinguish the main stages of development of business education in Russia, as well as to analyze the influence of turning to market economy at its genesis in Russia, and to demonstrate the interdependence between country’s social and economic situation and demand for education services.