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Given the economic woes that have taken hold of this country, the general consensus is that Cerberus overpaid badly for Chrysler.

Now the infamous Robert Nardelli -- probably best-known for his $210 million golden parachute for leaving Home Depot (NYSE: HD) in disgrace -- is charged with making the best of it as the company's CEO.

Fortune senior editor Alex Taylor III takes a look at Nardelli's bold and aggressive plan to return the company to solid profitability. Nardelli is playing hardball with the company's suppliers and dealers. Parts suppliers who can't deliver will be dropped, and the company's dealer network will be dramatically reduced in size. Nardelli is also consolidating all the company's brands -- Jeep, Dodge, and Chrysler -- into single dealerships. Business just isn't good enough to support a stand-alone Dodge store.

In addition, Chrysler is making a bold move into China -- the company currently garners 90% of its sales from North America, but hopes to double its international sales over the next four years.

The problem for Chrysler is that the price Cerberus paid and the weak economic environment may make even the most impressive turnaround something less than a cash cow.

And if there's one thing I've learned from watching a fair number of turnarounds, it's this: most of them fail miserably.

Chrysler currently achieves 90% of its sales from North America, but if the newly private company has its way, it will double its international sales over the next four years as part of its plan to return to profitability.

Rising gasoline prices, declining home values, and general economic malaise have further hurt the company which, along with the rest of the American auto industry, is struggling to compete with lower-cost overseas competitors.

According to The Wall Street Journal (subscription required), "To aid its international-sales expansion, Chrysler boosted the number of products offered overseas to 20 from nine. In China, Chrysler said it is reintroducing Dodge-brand vehicles after a 62-year absence. The Caravan minivan is in production. The Caliber hatchback and Avenger sedan are also slated to be sold in that country."

I wish Chrysler the best of luck because they're going to need it. The same problems that are dogging the company here should be exacerbated overseas -- It's hard to imagine why anyone in China will pony up the extra money to buy a Chrysler when there are so many cheaper options available over there.

Given all the controversy that Robert Nardelli's tenure at Home Depot (NYSE: HD) generated, and the much-maligned $210 million severance package he collected, there's a lot of confusion about why he was chosen to head the Cerberus Capital's newly-private Chrysler.

As Jonathan Berr wrote earlier, "he has no experience in the auto industry. Moreover, he was a horrible CEO at Home Depot whose arrogance was matched by a lack of operational skills. The Atlanta-based retailer is in the process of selling off its HD Supply Division, which Nardelli built, to private equity group lead by Bain Capital for $10.3 billion. Home Depot also lost market share to Lowes Cos. (NYSE: LOW) and saw its stock price fall about 8% under Nardelli's leadership."

The consensus seems to be that Nardelli was chosen because of his expertise in turnarounds. But will the arrogance that led to a major falling out with shareholders and a disastrous annual meeting also create problems in crucial negotiations with the United Auto Workers?

Maybe that challenge is what's motivating Nardelli. He's already richer than anyone could ever need to be. But the conventional wisdom on him is that he's a strong operational guy, but lacks strong people skills. Nardelli's a pretty determined guy, and if he can turn the determination that led to trouble with shareholders into something positive, he just might be the guy for Chrysler.