The Spanish head coach, 42, is bidding to lead Bayer Leverkusen to the first Bundesliga title in their history - with his club eight points clear of title rivals Bayern heading into the final 12 matches of the campaign.
Xabi Alonso faces a tough decision this summer
But he is already being linked with an exit in the summer as two of Europe's biggest clubs - both of whom he played for - circle for his signature.
With Jurgen Klopp announcing he will leave Anfield at the end of the season, Alonso has been tipped to take over from the German.
But Liverpool now face competition from Bayern after it was confirmed on Wednesday that boss Thomas Tuchel will depart in the summer.
And according to Sky Sports journalist Florian Plettenberg, Alonso is "more willing to join Bayern Munich instead of joining Liverpool".
The reporter also went on to state that both clubs have "enquired" about bringing Alonso in.
However, the ex-Spain midfielder remains focused on his job at Leverkusen.
Alonso, who is unbeaten after 22 Bundesliga games this season, received a seal of approval from Klopp to replace him at Anfield.
Last week, the outgoing Liverpool manager said: "Xabi is doing an incredible job.
"If there were not the rumours around, that's completely independent, if you had asked me eight weeks ago about Xabi Alonso, I would have gone 'Oh my God'.
"The dinosaurs if you want, Ancelotti, Mourinho, Guardiola, maybe me, we will not do it - OK maybe Mourinho.
"But all the rest of us will not do it for the next 20 years. The next generation is already there and I would say Xabi is the stand-out in that department."
Alonso, who in the past has referred to managing Liverpool as a "dream", spent five seasons at the Reds, playing more than 200 games and winning both the Champions League and FA Cup.
After five years at Real Madrid, he then joined Bayern where he claimed three Bundesliga titles and the German Cup.
But while he has history with both Liverpool and Bayern, he could yet opt to stay at Leverkusen.
Alonso has a contract with the Bundesliga leaders until 2025.
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