Jurgen Klopp admits Liverpool cannot possibly match Manchester City when it comes to transfer spending but he still believes they can find other ways to compete.
During his seven years in charge, Klopp's net spend has been around £150m, whereas Pep Guardiola's in a 12-month shorter period is over half-a-billion pounds.
Having pushed each other incredibly close in the title race for the majority of the time the two have been in England, Liverpool's poor start to the season means they currently trail their rivals by 13 points.
The resources available to City, backed by Abu Dhabi's Sheikh Mansour, mean they have been able to strengthen year-on-year with virtually limitless spending.
Liverpool, while still being able to bring in a potential £85m club-record signing in Darwin Nunez this summer, work to a more restricted model under American owners Fenway Sports Group and Klopp accepts that.
Guardiola: Liverpool still the main threat
When asked how his club could keep pace, the Reds boss said: "Oh, you won't like the answer. Nobody can compete with City in that.
"You have the best team in the world and you put in the best striker on the market (Erling Haaland), no matter what it costs, you just do it.
"What does Liverpool do? We cannot act like them. It is not possible.
"There are three clubs in world football who can do what they want financially. It's legal and everything, fine, but they can do what they want.
"We have to look at it (and say) 'We need that and we need that and we have to look here and make it younger, and here a prospect and here a talent'.
"That is what you have to do. And you compete with them. You have to compete with them.
"It is not a problem at all for me, it's like it is."
Liverpool come up against an in-form Haaland at Anfield with Klopp hoping Nunez's goals in back-to-back matches will help him get up and running after a stuttering start since his move from Benfica.
"I heard now that at Newcastle somebody (sporting director Dan Ashworth) said 'There is no ceiling for this club'.
"Yes, he is absolutely right. There is no ceiling for Newcastle. Congratulations. But some other clubs have ceilings."
Haaland's brilliant introduction to the Premier League, scoring 15 goals, has inadvertently shone the light on Nunez but Klopp is confident the Uruguay international is not comparing himself to the Norwegian.
"Let me say it like this, I think Darwin Nunez would have scored a couple more goals if he had played in the centre of Man City this season," said the German.
"We have to improve our game to bring him more often in these situations.
"I don't know but I hope it is not in a process where he compares himself with Erling Haaland.
"Don't compare, I hope he is not doing that and doesn't think about that. I don't see that.
"We are in our situation and we want to sort our situation and that is all we are concerned about."
Klopp admits he is not dumb enough to believe their Champions League humiliation of Rangers has solved all their issues ahead of facing City tomorrow.
A devastating second half – which included the competition's fastest hat-trick by Mohamed Salah in six minutes and 12 seconds – saw the Reds win 7-1 at Ibrox.
But considering the quality of the opposition and the lack of resilience they showed. the result provided no real barometer going into one of the toughest games of the season.
"We are not, even when people think that maybe (we are), that dumb that we think that’s the only thing we needed to beat Man City," said Klopp.
"There were a lot of positive moments but with all respect to Rangers, we know there’s a big gap between Rangers and Manchester City.
"We have to prepare the game in a different way of course but using the positive feeling we have now, but that alone will not give us anything against City.
"It’s not that we now feel different or whatever. It’s a home game, it’s Anfield, it’s us against Man City.
"Yes, they are in the moment, definitely, the best football team in the world, that’s how it is, but we will give it a try anyway, knowing there are no guarantees.
"But we know we get help from a full Anfield and we try to use that."
While Salah’s one-man show stole the headlines, the underlying form of fellow forward Roberto Firmino is giving cause for optimism.
The 31-year-old, who is out of contract in the summer, has scored eight times in 11 appearances – only three fewer than he managed in the whole of last season.
His six Premier League goals currently put him behind only City’s Erling Haaland and Tottenham captain Harry Kane.
Firmino’s position was probably the one most under threat following the arrival of Darwin Nunez from Benfica for a potential club-record fee but the Brazil international has risen to the challenge.
"Bobby is in a really good moment. I’m really happy for him," added Klopp.
"Even when it’s for us obviously not the best moment we’ve ever had, it’s helpful when these boys at least still know where the goal is.
"Nothing changed really for Bobby. Bobby always played when he was fit in this team, he always contributed when he was fit."
While City's summer signing Haaland has taken a lot of the headlines this season, scoring a remarkable 20 goals in just 13 appearances, Liverpool’s own star forward, Mohamed Salah, has struggled for form.
The Egyptian served notice that the slump could be over, however, as he came off the bench to score a stunning six-minute hat-trick against Rangers in the Champions League in midweek.
City manager Guardiola said: "These type of players always score goals in their career. Sometimes they struggle a little bit because the team is not at their best but the quality is there.
"If both players (Salah and Haaland) have a half-chance, they can convert it, they are they’re so good.
"It’s not (correct) to say Salah is not going to score goals anymore – he is always going to score, we know that."
