For Dortmund, they remain the only unbeaten side in the so-called "Group of Death," and Jurgen Klopp will be delighted that they have taken all three points from Real Madrid—one of the favourites for the title this season.
Jose Mourinho, on the other hand, will be expecting a turnaround in the result for the forthcoming Champions League match, which is the reverse fixture back at the Santiago Bernabeu.
Here are five things that Wednesday's results mean for Group D in this season's Champions League, and specifically for Real Madrid.
Real Madrid tasted defeat in the Champions League for the first time this season after they were beaten 2-1 by Borussia Dortmund in the Westfalenstadion, but the loss should not have far-reaching consequences for the reigning Spanish champions.
In terms of the quality of opposition, Dortmund are an exceptional side who have won the German Bundesliga for the past two seasons; home form is always important for teams in the Champions League, and Real should not be disheartened with the result.
Though it sends the Germans to the top of the group, a win for Real against the same opposition at home in the next European outing will see the pair swap places once more.
Having already gotten a good result away in Holland, Real will go through as long as they can win their home fixtures.
One defeat in isolation changes nothing in that respect.
Siem de Jong, Niklas Moisander and Christian Eriksen did the damage to send City to the bottom of the "Group of Death."
Roberto Mancini's men were expected to fare far better this season than last year, when they exited at the group stage, but it looks as though they will have to do it the hard way or not at all.
With a single point from three matches so far, City will need three wins from their last three games to have a chance of qualification. Even then, they may be dependent on other games.
A far cry from City's travails, Borussia Dortmund have claimed two wins and a draw from their three matches and are sitting pretty in first place.
Even if the German side fail to take any points in their two matches, one further win at home against Man City on the last match day will likely see them qualify with 10 points.
Dortmund ended up bottom of their group last season, but are in great shape to progress into the knockout stages this season.
The three attacking midfielders playing behind Robert Lewandowski up front give Dortmund a fantastic amount of quality and creativity in the final third; their ability to score goals will see them pick up enough points over the remaining matches to go through.
Real Madrid have a great squad, but at present, the manager, Jose Mourinho, is struggling with the left-back position suffering from injuries.
Marcelo broke his foot during the international week with Brazil, while Fabio Coentrao and Alvaro Arbeloa are also out for a couple of weeks with minor injuries.
Michael Essien got the nod from Mourinho to play on the left of defence against Dortmund, but the dynamic midfielder did not exactly impress.
Lukasz Piszczek was able to raid forward from defence down that flank many times over and set up a succession of shots for his team with low crosses. Dortmund might be the best side that Real come up against during the spell until Coentrao and Arbeloa return, but they still might have to reconsider who plays that position for a couple of games in the meantime.
Real Madrid had more of the ball against Borussia Dortmund, tallying 57 percent of possession during the course of the game, but failed to consistently create real quality chances.
Dortmund, by contrast, had more clear-cut openings and might have scored an additional goal or two if not for several good saves from Iker Casillas.
The rushed build-up play from both teams and end-to-end, hectic nature of the game itself made for fascinating viewing, but few good goalscoring chances for the away team.
Cristiano Ronaldo and Angel Di Maria were both dangerous in terms of receiving the ball in good areas, but they infrequently made the most of their positions.
Di Maria in particular was wasteful when presented with a chance to shoot, only finding the target once from six efforts—and the entire team only hit the target twice from 14 shots altogether.
That pace and dynamism is often effective and deadly against other teams.
But Dortmund defended in enough numbers and were extremely quick to press in the defensive midfield zone, turning the ball over fast enough to trouble Madrid themselves on the break and making use of the spaces left when the away side tried to come forward.
In Germany, it ended up costing Madrid as Dortmund won the game—but a similar approach in the reverse fixture, with the home crowd behind them, might just as easily see Real to victory and the top of the group.
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