General Motors (NYSE: GM) is upbeat. Given the state of the car industry, that may seem bizarre. But the company's CEO sees better things ahead [subscription required] due to huge cost-cutting and improving international sales.

According to The Wall Street Journal, "Chief Executive Rick Wagoner said the auto maker could see 'significant' profit increases in two to three years."

GM's plan has three pieces. The first is to cut production in the U.S. if sales continue to fall. The next is to further trim the work force at the company. The last is to count on sales in countries like China to keep worldwide sales momentum.

With its shares below $23, down from almost $43 last year, Wall Street does not appear ready to buy into GM's vision. That may be for good reason. Overseas sales can only make up for so much carnage in North America. GM may be seeing strong revenue increases in South America and Asia, but it is up against local car companies and Toyota (NYSE: TM) in all of those markets. That means that continued growth in sales outside the U.S. is by no means certain.

The GM dream may have the ring of hope, but it does not yet have a foundation in reality.

Douglas A. McIntyre is an editor at 247wallst.com.