Why do all of our kayaks have full length waterlines and plumb bows? Simple: ease of handling, tracking, comfort, carrying capacity...not to mention overall performance.
Efficiency
Important performance characteristics, such as forward speed and tracking, are greatly increased on a plumb bow kayak.
Plumb bows maximize waterline length (for a given overall length). A longer waterline length, in general, makes for a faster boat.
It is easier for water to split off to either side of a boat than go under it. An extended bow will tend to push the water downward (inefficiency.) A plumb bow does a better job of slicing water off to the side (efficiency.)
Plumb bows tend to allow a nice narrow entry into the water compared to a more "traditional” extended bow.
Volume
Bow volume has a direct impact on boat performance in rough water and waves. Plumb bows have a lot of volume, extended bows do not.
The extended bow takes longer to respond to a wave, as there is no real volume until further back on the boat. There is a rapid increase in buoyancy as a wave passes under the extended bow, which accentuates the upwards acceleration of the bow as it responds to the wave (pitching upward.)
The added volume provided by the plumb bow helps the boat respond to wave entry right away, and then ride the wave more smoothly and in a more constant manner. This prevents heavy pitching, and makes plumb bows more comfortable in heavy sea conditions.
(Stated another way: as the boats encounter a wave, the plumb bow would enter the wave and start to increase buoyancy several inches or even feet ahead of the extended bow boat. With the finer entry and buoyancy the plumb bow crests the wave in a more progressive manner, so that rather than being jerked upward, the plumb bow has a gentler rise and fall.)
On the backside of a wave, when the extended bow kayak comes down on the water after pitching up off the front, its blunter shape does so with a greater impact, throwing more spray and causing more discomfort to the paddler.
The buoyant plumb bow, having a much gentler approach, has a smoother landing and drier ride off the back of the wave.
The extra volume in the plumb bow kayak also increases the storage capacity of the forward compartment, allowing the paddler to squeeze out every extra square inch for their gear.