The following attempt to form a general theory of marketing makes it possi-ble to relate existing concepts and reasoning to each other by means of the common denominator of value, discussing its appreciation, development, and exchange.

The main ambition has been to offer an approach close to reality, where the exchange rate of products (goods and/or services) and money – the price-value relation – is the reason for acceptance, reject or negotiation between seller and buyer in every single transaction.

This theory starts at the undisputed objective and thus centerpoint of all commercial activity – the transaction of selling and buying – and works its way from there, still keep-ing its feet on the ground.

The synthesis of the here introduced notion of ”the Audience of Marketing” and the generally accepted definition of Value, form the starting point for the reasoning. The logical line of argument following, leads to my (previously published 1990, 1996, 1998) model of ”the Evaluating Audience” and the ”Price-Value Balance Model” - now the commercial Transaction Model.

As organisations are built and structured today, there are several functions, which are responsible for, or involved in, the creation of value. All resources and activities that have a direct or even indirect influence on the development of customer perceived values, are integrated in the commercial system of the organisation, even if the nature of their interdependence is not commonly recognized.

It is the author’s hope, that this theory will not only increase the understanding between key functions in companies, but also have its implications on how companies will be organized in the future.

Carl Eric Linn
Stockholm, March 1999