[guided]The main point is to prove that the norm used to complete $C(X)\odot C(Y)$ is exactly the [uniform norm](/page/Uniform%20Norm) of the corresponding function on $X\times Y$. We use the most concrete faithful representations available: point evaluations on Hilbert spaces with one basis vector for each point.
Let $H_X:=\ell^2(X)$ and $H_Y:=\ell^2(Y)$. For each $x\in X$, let $e_x\in H_X$ denote the standard basis vector supported at $x$, and for each $y\in Y$, let $e_y\in H_Y$ denote the standard basis vector supported at $y$. Let $\mathcal{L}(H_X)$ and $\mathcal{L}(H_Y)$ denote the $C^*$-algebras of bounded linear operators on $H_X$ and $H_Y$, respectively, with the operator norm and Hilbert-space adjoint. Define
\begin{align*}
\pi_X:C(X)\to \mathcal{L}(H_X)
\end{align*}
by requiring
\begin{align*}
\pi_X(f)e_x=f(x)e_x
\end{align*}
for every $f\in C(X)$ and every $x\in X$. Similarly, define
\begin{align*}
\pi_Y:C(Y)\to \mathcal{L}(H_Y)
\end{align*}
by
\begin{align*}
\pi_Y(g)e_y=g(y)e_y.
\end{align*}
These are unital $*$-representations because products, sums, scalar multiples, units, and complex conjugates are all computed pointwise on the diagonal entries. They are faithful: if $f\ne 0$ in $C(X)$, then there exists $x\in X$ such that $f(x)\ne 0$, and then $\pi_X(f)e_x=f(x)e_x\ne 0$. Hence $\pi_X(f)\ne 0$. If $g\ne 0$ in $C(Y)$, then there exists $y\in Y$ such that $g(y)\ne 0$, and then $\pi_Y(g)e_y=g(y)e_y\ne 0$, so $\pi_Y(g)\ne 0$.
Now [citetheorem:8580] applies to the two $*$-representations $\pi_X$ and $\pi_Y$, so the spatial product
\begin{align*}
\pi_X\odot\pi_Y:C(X)\odot C(Y)\to \mathcal{L}(H_X\otimes H_Y)
\end{align*}
is a well-defined $*$-homomorphism. Since both representations are faithful, [citetheorem:8581] says that the minimal tensor norm is computed from this representation:
\begin{align*}
\|u\|_{\min}=\|(\pi_X\odot\pi_Y)(u)\|_{\mathcal{L}(H_X\otimes H_Y)}.
\end{align*}
We next identify the operator explicitly. The Hilbert tensor product $H_X\otimes H_Y$ is naturally identified with $\ell^2(X\times Y)$ by the unitary map sending $e_x\otimes e_y$ to $e_{(x,y)}$. Let
\begin{align*}
u=\sum_{i=1}^{m} f_i\otimes g_i
\end{align*}
be an arbitrary element of $C(X)\odot C(Y)$, where $m\in\mathbb N$, $f_i\in C(X)$, and $g_i\in C(Y)$. Then, for every $(x,y)\in X\times Y$,
\begin{align*}
(\pi_X\odot\pi_Y)(u)e_{(x,y)}=\left(\sum_{i=1}^{m}f_i(x)g_i(y)\right)e_{(x,y)}.
\end{align*}
The scalar multiplying $e_{(x,y)}$ is exactly $\Phi_0(u)(x,y)$. Thus $(\pi_X\odot\pi_Y)(u)$ is the diagonal multiplication operator by $\Phi_0(u)$.
It remains to compute the norm of this diagonal operator. Since $X\times Y$ is compact and $\Phi_0(u)$ is continuous, there is a point $(x_0,y_0)\in X\times Y$ such that
\begin{align*}
|\Phi_0(u)(x_0,y_0)|=\|\Phi_0(u)\|_{\infty}.
\end{align*}
For every vector $\xi\in \ell^2(X\times Y)$, the diagonal form gives
\begin{align*}
\|(\pi_X\odot\pi_Y)(u)\xi\|_{\ell^2(X\times Y)}\le \|\Phi_0(u)\|_{\infty}\|\xi\|_{\ell^2(X\times Y)}.
\end{align*}
Hence the operator norm is at most $\|\Phi_0(u)\|_{\infty}$. Applying the operator to the unit vector $e_{(x_0,y_0)}$ gives
\begin{align*}
\|(\pi_X\odot\pi_Y)(u)e_{(x_0,y_0)}\|_{\ell^2(X\times Y)}=\|\Phi_0(u)\|_{\infty}.
\end{align*}
Therefore the operator norm is also at least $\|\Phi_0(u)\|_{\infty}$. Combining the two inequalities gives
\begin{align*}
\|(\pi_X\odot\pi_Y)(u)\|_{\mathcal{L}(H_X\otimes H_Y)}=\|\Phi_0(u)\|_{\infty}.
\end{align*}
Since this operator norm is the minimal tensor norm, we obtain
\begin{align*}
\|u\|_{\min}=\|\Phi_0(u)\|_{\infty}.
\end{align*}[/guided]