Dovizioso, who led going into the race, dropped to fifth on 46.
Zarco was promoted to a lonely second position, having been on course for fifth, while a scrap for sixth position suddenly became the fight for third.
Marc Marquez has stormed to victory at Jerez after front-running rivals Andreas Dovizioso, Jorge Lorenzo and Dani Pedrosa all crashed out together which sees the defending MotoGP world champion claim the riders' championship lead.
With 11 laps to go Marquez has a 1.3-second advantage over Lorenzo, and then a Ducati disaster with 8 laps to go as a huge crash unfolds and Dovizioso, Pedrosa and Lorenzo are out of the race.
With Marquez breaking away out front, Dovizioso and Lorenzo were battling for second place towards the closing stages of the race, with the incident triggered by the Italian diving down the inside of Lorenzo at the Turn 6 right-hand hairpin.
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"I started from the second row but I was clever to overtake the other riders in the beginning", the Spanish rider said, adding, "It was almost impossible to overtake Lorenzo".
Britain's Cal Crutchlow started on pole position for the LCR Honda team but failed to finish, crashing out at turn one after nine laps and while in fourth place. He now leads the Championship with 70 points.
Iannone tussled with Petrucci but was able to get clear of the chasing pack to take his second podium in as many races to continue the Suzuki revival. He, however, reached another milestone when he completed the circumference of the planet in race kilometres.
Australian rider Jack Miller finished six and was the first Ducati rider to cross the finish line.
The crash between Marquez's main rivals is of great significance because it has changed the course of the championship.