The demonstrated implementation seems to be correct and it is working properly at my end. In the dojo example below, you can observe the behavior at my end:
1. Close the DIalog
2. Click the `change title` button
3. Click the `open dialog` button
result: the title is changed
Could you please try it at your end and modify it in a manner so we could replicate the issue at ours.
On a side note, the reason for the issue might be if a reference to the dialog widget is not acquired, prior to the invoking of the title method. Please make sure that you are correctly getting a reference to the widget (....data("kendoDialog"))
Hope this would help.
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