Jose Mourinho has admitted Manchester City are "dominant in the market" after outbidding his Real Madrid side to sign left-back Aleksander Kolarov.

The 24-year-old Serbia international moved to Eastlands last month for £16m as part of another remarkable summer of squad strengthening, which has seen their owners plough more than £100m into the club.

If someone wants to compete with them for a player it is very difficult. The player they say they want is the player they get.
Real Madrid coach Jose Mourinho on Manchester City

And Mourinho, who joined Real after leading Inter Milan to a domestic and European treble last season, concedes even they can't compete.

"I understand that if someone wants to compete with them for a player it is very difficult, they are dominant in the market," he told Sky Sports News. "The player they say they want is the player they get.

"I was interested in Kolarov when I came here, but I couldn't compete with them as they went to values that I couldn't. If they have the money they can do it, if they have the ambition to win the Premier League they can do it."

Mourinho envisages three-horse race
Mourinho believes this season's Premier League title race is between City, Manchester United and his old club Chelsea. "I believe Chelsea, Man United and Man City, that's it," he added, before dismissing the chances of Liverpool.

"It's very difficult for Roy Hodgson as over the last three years they have been getting worse, worse and worse. He needs time.