The Whites, looking for points to aid their battle against relegation from the Premier League, slipped behind with 13 minutes on the clock when Rodri struck for Manchester City.
Leeds pushed the Citizens though and were still in the game at half time, as both sides went in without any further goals being scored.
Manchester City though struck quickly in the second half, through Nathan Ake in the 54th minute, while further goals from Gabriel Jesus (78th minute) and Fernandinho (93rd minute) sealed the deal.
Despite the defeat, which leaves Leeds five points above the drop zone, Marsch is upbeat and feels his side’s performance was such that the game feels like a win.
“On the scoresheet it’s a loss but in many ways I think it’s a win”, he told his post match press conference.
“It’s a crazy thing to say but it’s how I feel.”
The American believes Leeds put the game plan he set out into practise and were undone by set pieces.
“We were able to execute the match plan against and with the ball.
“The two set pieces were really the difference on the day.”
Next up for Leeds is a trip to the capital to take on top four chasing Arsenal at the Emirates Stadium.