It depends a lot on how you intend to use one and where you keep your boat.
My boat's on a buoy, an 11 minute row from the public dinghy dock, so I use a 9' Livingston there, for its seaworthiness, stability as a work platform and low desirability as a theft target.
My boat came with a cheap PVC inflatable that I thought I'd want to replace but after living with it for a while, it's fine. I found several recommendations to treat a PVC dinghy with 303 Aerospace Protectant against UV, so I'm doing that. It's a bit of a godzilla on the foredeck though. I think I will use when cruising: stowed for the journey, inflated at destinations, then towed for gunkholing. I think it would be the best dive platform.
If I wasn't on a budget, I think I'd go for a TrueKit Navigator like the folks of Alluring Arctic Sailing use, it's only 53lb and 31"x24"x10" packed!
For a while, I really wanted an 8ft Walker Bay, as an indestructible, light weight (75lb) sailing dinghy that fits on the foredeck and if I find a deal I still might get one. Sailing a dinghy is loads of fun and once you get somewhere, it seems like a great way to noodle away some time.
I also have a very light 7ft Livingston that I think would fit on the foredeck but haven't tested. A boat you can easily pull out and put in seems ideal for coastal cruising.
A friend who's boated the NW for many years went with kayaks, for their ease of stowing/launching from side decks, but I prefer to sit and row, and on a buoy, the utility of a larger platform has a lot of value. I think kayaks would be fun for weekend trips but they sailed full summers with them, up the inside passage. Different strokes...
FWIW, I'm happy with the $400 Craigslist Honda 2hp, light and air cooled so no water in the works and can work on it without muffs or barrel. I'd go electric if I could though.
All of this may change for me depending on whether I can eventually get a slip at the yacht club, the marina, or a buoy close enough to a private, secure dinghy dock I can leave an outboard installed on it.