Manchester City need to shake up the squad, they need reinforcements but that can only be done in the summer. Their recent three losses to Real Madrid and now Liverpool yesterday is not good at all. I am sure that Manchester City will make good signings in the summer to improve the squad.
In terms of attacking players, Man City actually only needs a few changes in the midfielders to make a better contribution to the strikers. And for the defense line, it seems like Guardiola really has to make big changes. We can see from the current statistics that Man City can still score big but in fact they have conceded a lot of goals too.
So this season City can only accept their fate of losing the title and even their reputation.
I think it's wrong to talk about loss of reputation because they have been winning for the last few years, not just the EPL but the champions league too and it's impossible to lose reputation in one failed season. A trivial comparison is Manchester United. In their case yes they lost their reputation as soon as they started losing, in their failed season they were below 10th place for a long time, but Manchester City are doing quite well. There are problems, but they are solvable
Big teams do sometimes faces some tough season(s), sometimes when a key player is gone or injured and Manchester City is not an exception because they have Pep Guardiola as their coach.
Real Madrid, Barcelona and Bayern Munich has been there, what matters is how they bounced back and a season is not enough to lose a significant reputation, don't forget Liverpool was facing similar issues two seasons ago but they have bounced back really well and will likely get the league title this season and if not that they messed up as last season ending draws closer they could have won it then.