After carefully comparing different market entry strategies, the most suitable option for Sanjo’s expansion to the Canadian market is a strategic alliance. This strategy allows Sanjo, a Portuguese sneaker brand known for its heritage and sustainable values, to partner with an established Canadian company that already understands the local market. Through this kind of partnership, Sanjo can share responsibilities, reduce financial risks, and access valuable retail networks and consumer knowledge without needing to open its own stores or manage everything alone (Magun, 1996). A strategic alliance also gives Sanjo faster access to new customers and allows it to adapt its offer based on local preferences. According to a survey by Industry Canada, more than 53% of Canadian companies form alliances to enter new markets, which shows that this strategy is widely used and successful in Canada (Magun, 1996).

Sanjo could apply this strategy by teaming up with a Canadian lifestyle retailer or a brand that shares similar values, like sustainability or quality craftsmanship. For example, if Sanjo works with a local boutique chain that sells eco-friendly products, it can immediately connect with customers who care about the same values. In this partnership, the Canadian company would help with marketing, logistics, and navigating local regulations, while Sanjo provides unique products and a strong brand story. This collaboration allows both sides to benefit—Sanjo builds its brand in a new country, and the local company adds a trendy European product to its offer.

One of the biggest advantages of a strategic alliance is that costs and risks are shared, which is especially helpful for Sanjo as a growing brand with limited resources. Sanjo would not need to make a big upfront investment, like buying property or opening its own shops, which makes the expansion more manageable (Magun, 1996). Another benefit is that a local partner already knows how the Canadian market works, including customer expectations, laws, and business culture, which helps avoid common mistakes made by foreign companies (Magun, 1996). This is very useful in a country like Canada, where there are language differences in Quebec, strict provincial regulations, and unique cultural preferences (Canada.ca, 2024).

However, there are also some risks. One of them is reduced control—Sanjo would need to trust its partner to represent the brand properly, and any mistakes could damage Sanjo’s reputation (Magun, 1996). Another challenge is that the goals of both companies must be aligned. If Sanjo wants to focus on long-term brand building but the partner only cares about short-term sales, problems could happen (Magun, 1996). That’s why it’s very important for Sanjo to choose a reliable and experienced partner and to have a clear agreement that defines roles, expectations, and responsibilities.

Other entry strategies were considered but didn’t offer the same balance of control, speed, and shared risk. For example, licensing would be a cheap and fast option, but it would give Sanjo very little control over how the brand is marketed or how products are made. This could hurt Sanjo’s premium image and sustainability promise, especially if the local partner doesn't meet their quality standards (Ownr, 2023; WES, 2023). Piggybacking is also a low-cost option, but it is not good for long-term growth. It depends too much on the partner’s marketing and doesn’t help build strong brand visibility, which is important for Sanjo’s global presence (Clym, n.d.; Creately, n.d.).

In conclusion, a strategic alliance is the best market entry strategy for Sanjo because it allows the brand to grow sustainably in Canada, stay connected with its identity, and build meaningful relationships with Canadian consumers. While it does require careful partner selection and clear communication, the benefits of shared knowledge, market access, and reduced costs make it the most balanced and realistic option for Sanjo at this stage of its international journey.