Claudio Ranieri's Foxes hammered the Swans 4-0 at King Power Stadium on Sunday to place one hand on the trophy in what has been a remarkable season.
After the match, Guidolin conceded that his Italian counterpart Ranieri and his players were had earned the right to become champions of England's top flight.
"Leicester deserve to win the title because this is a very strong team," he said.
"This is a dream for Leicester and I understand a few weeks ago why Claudio had tears (at Sunderland). I am very happy for him.
"Today I saw my team fight for 90 minutes against the strongest team in the Premier League.
"We have to improve, (conceding goals) it is not a problem of defenders, it is a problem of the team."
Riyad Mahrez opened the scoring on 10 minutes with his 17th goal of the season before Leonardo Ulloa, replacing the suspended Jamie Vardy, netted a brace prior to Marc Albrighton's late strike to wrap it up.