I put rice #2 on the ticket because (1) she's never run for elective office but her foreign policy resume's stronger than anybody in the world outside of maybe Cheney and (2) she may be persuaded to take the V.P. slot where she wouldn't take #1
I agree with your reasoning. I'd also point out that her political views tend to the moderate on enough issues that she'd be a poor pick for the #1 slot.
My only reservation with pairing her with Allen is the fact that I don't know if George Allen will be able to use her effectively. Perhaps someone can enlighten me on his management style, but if he's a freakishly over controlling, micromanager, he may not allow his Vice President the powers and scope of responsibility that he might allow his Secretary of State... And if that is the case, I'd suggest that she remain as a cabinet member or advisor, rather than becoming Vice President.
She is a smart and capable woman. It would be a shame to have her win the Vice Presidency, only to have her languish in the twilight zone with no responsibilities on which to apply her experience and skills.