The Citizens succumbed to a 3-2 defeat at the hands of Real Madrid in their opening Group G encounter.
Toure admits that last season’s campaign, in which the Premier League champions failed to qualify for the knockout stages of the competition, was a "disaster" for the club.
Regardless of the disappointment in the Spanish capital, the powerful Ivorian believes City can follow in the footsteps of Manchester United and Chelsea and win the competition.
"Hopefully it is going to be a massive game for us. Borussia Dortmund are a fantastic team. They work very hard in attack and defence and we know it is going to be tough and we have to deliver," he told reporters.
"Our last campaign was a disaster. We want to change that. Look at our rivals, Chelsea and Manchester United; they have appeared in a final and this year I hope we can go far and even win it."
"The first year was quite hard. This can be massive for us to get to the second round. We know we are in a tough group and we have to get a good result."
City are grouped together the reigning Spanish, German and Dutch champions, and Toure is eager to please the home fans by overcoming the Bundesliga giants on Wednesday night.
"In our life we know what we have to do but we understand the position we are in because we lost in Madrid," the 29-year-old.
"Now we are playing the first game in the Champions League at home and we want to show our fans what we can do and produce a good result. With a team like this we can go very far in the competition."
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