The Croatian has been named Tottenham manager to the end of this season after the dismissal of Thomas Frank last week.
Sherwood told Sky Sports: “It’s going to be difficult, he has no knowledge of the Premier League. Apart from the money, what is the upside for him?
“If he finishes 12th, he’s getting no credit. The downside is so catastrophic. Would you want your fingerprints all over Tottenham getting relegated from the Premier League?
"I go back to it – Thomas Frank would still be there if it wasn’t for the toxic nature of the fans.
“And I can totally understand the disgruntlement of the fans, because they’re not getting the results.
“I heard people say they’re sleepwalking into the Championship. I think they’ll have enough, even with the injuries, to get out of it – but he will get no credit for that.
“The downside is so great, he can only fail. He’s getting no credit for keeping Tottenham in the league.”