The Croatian manager feels that the money invested in other top clubs makes it difficult for the Bundesliga leaders to keep pace
Bayern Munich head coach Niko Kovac has claimed that his side cannot compete financially with Europe's elite clubs - particularly the Premier League.
Bayern were knocked out in the round of 16 of the Champions League for the first time in nearly a decade at the hands of Liverpool, and their fellow Bundesliga clubs - Borussia Dortmund and Schalke - also fell at the same hurdle.
And following the 3-1 defeat in Munich, Kovac complained about the magnitude of his counterpart's spending in comparison to his own, and highlighted the financial muscle of Premier League as a concern for clubs in Germany.
"Money doesn't always win, but Jurgen Klopp spent €500 million in the last four years," Kovac said.
"Even we as the Bundesliga forerunners did not do that. It's just an advantage [for them].
"We must now continue with our planning and reflect about how we want to set ourselves up for the new season. We must not lie to ourselves. It's not by accident that three German clubs are eliminated by three English clubs.
"For the top stars, it's just more appealing to go to the Premier League than to Bundesliga."
He went on to explain that, as a result, he feels German football must focus on giving young players a chance in order to find success without having to spend huge amounts on marquee signings.
"If we want to make up for this, we must identify young and talented players early on.
"The basic question is: Do we want to play in that game or not and then [we must] calculate on other teams running away from us."
In the past two windows, Kovac acquired Leon Goretzka on a free transfer from Schalke and Canadian winger Alphonso Davies, 18, from the Vancouver Whitecaps.
And the future planning Kovac mentions has clearly already started, with Bayern having wrapped up a deal for Benjamin Pavard to join at the end of the season from Stuttgart, and the 22-year-old World Cup-winning right-back will be joined by teenage striking sensation Jann-Fiete Arp the following season.