Something like that is very easy to do in Photoshop:
1. Make a layer that is a duplicate of the original image
2. If necessary, darken the copied layer using curves
3. Add a curves adjustment layer over the picture that lightens the entire photo.
4. Add a layer mask to this adjustment layer and fill with black to negate the lightening
5. Use a radial gradient going from white in the center of where you want the lightening to begin, outward to where you want it to end
6. If you want the gradient to be more of an oval, use the marquee tool to draw an oval over the blackened layer mask, do a large feather on the oval's border, and create your gradient in this oval
7. The shadows can easily be added after
Some fine tuning might be necessary after the above steps (such as adding a layer mask to the darkened layer and painting with black where necessary if re-lightening the darkened layer makes the image too grainy in this area), but this is the basic idea.
I'm not saying that this image was Photoshopped, but that the effect can be easily achieved with Photoshop.
Burning and dodging would take too long and be to clumsy for this effect. A gradient is the way to go.