The BVB official does not feel the club will move from its policy of bringing through young players while he admitted that it would take a big offer for Robert Lewandowski to leave
The Bosnia international has been linked with a move to the Bundesliga champions for much of the season, but Watzke feels that anyone who believes the rumour does not understand the transfer policy of the club.
"Anyone who really believes that a player from Manchester City would be transferred to Borussia Dortmund hasn't understood the BVB business model. Our motto is to develop young players," he told Sport 1.
Dzeko has been linked with the club after growing rumours that Robert Lewandowski will be leaving at the end of the season, but Watzke believes only a massive sum of money would allow the Poland international to depart.
"Either we get a good offer in a timely manner or Robert plays until 2014 for us," he added.
The club are in an excellent financial position after advancing through the Champions League group stage this season, but Watzke, who claimed that a defender is top of his shopping list, revealed that Jurgen Klopp would not be breaking the bank in the search for players in the summer.
"We want to be at the top and be successful," he said, "but we will do this without having to spend the extra money we have gained."