How did the agrarian Ottoman and Russian Empires, both with large landholding ruling classes, respond to the western European industrial challenge during the 1800s?

Not well as they remained the only countries in Europe where feudal system still existed.

Explanation:

Ottoman Empire started declining in 17th Century. Sultans didn't realized that certain reforms are necessary to strengthen the country. Some of them were done in 19th Century, but it wasn't enough. Industrialization hasn't spread. Case in Russia was even worse. Absolute monarchs in Russia didn't allowed any changes. There was no industrialization, no constitution. The reforms are done just in 1905.