City, who won their first Champions League title this year, are yet to win the Club World Cup, a trophy Guardiola won twice with Barcelona and once with Bayern Munich.
"It's a pleasure to be here, it's the first time Man City is here. We don't take it for granted, it's a privilege, an honour to be here," Guardiola told reporters.
"We know how hard it is to win this competition and you have to have done something special in the past... It is my fourth time I have played this competition and the previous times the semi-final was really tough, really tricky every time.
"We want to win it. Once we are here, it is a trophy we do not have. We want to close the little circle and win all the trophies we could do. This is the last one."
The last 10 editions of the Club World Cup have been won by European sides and City will be firm favourites when they take on Asian Champions League holders Urawa at King Abdullah Sports City Stadium in Jeddah on Tuesday.
However, Guardiola urged caution, pointing to the strength of Japanese football, with Japan's national team, the 'Samurai Blue', having recorded wins over Spain and Germany in last year's World Cup.
"To reach the final is tricky. We don't know them much, we got as much information as possible," Guardiola said. "Japan's national team is beating Germany, winning games against the best in the world. Football in Japan is strong."
City are in a poor run of form heading into the contest, having won just three of their last eight matches in all competitions, but midfielder Bernardo Silva said the team are not lacking in desire.
"When you play the Club World Cup there is no tiredness. We are motivated to come here and play the competition," Silva added.
"Almost all of us never won - and as a club we never won - and we want to do it. First we have to play Urawa Red Diamonds and we will prepare well to do it."
