One should decouple two different issues: Is the image optical or a video feed? Is the image presented on a screen or through a viewfinder?
Advantages of a viewfinder, whether optical or electronic, are that one can screen out stray light, avoid glare, support the camera more securely, and exclude distractions. Furthermore, there is no stray light to bother those around you in a dark venue. And with a diopter adjustment one can compensate for failing eyesight.
Advantages of a screen, whether optical (think glass on an MF camera) or electronic, include the ability to review images with other people and, sometimes, the advantages of a physically larger image. It is also possible to watch the screen while still being aware of one's surroundings, though this never approaches the convenience of a rangefinder for this purpose.
The advantage of an optical path include low latency, high resolution, and low noise. But an electronic screen permits data overlays, focus peaking, blinkies, crop lines, horizons, and other exposure and compositional aids.
An Electronic Viewfinder (EVF) combines all of the advantages of an electronic screen with those of a viewfinder. Being able to change menu settings etc. without lifting the eye from the EVF is very appealing and makes for a more efficient photographic workflow. Latency is already minimal on the best of today's EVF models; in another generation or two it will be hard to recommend an optical finder for a smaller sensor camera.
As for screens, their main use is only evident if the LCD can be articulated to permit camera positions that would otherwise be impossible to compose from. Fixed LCD screens are next to useless compared with a viewfinder, IMO. Especially as the viewfinders on my Olympus PEN cameras are 90 degree articulated themselves.
Unfortunately Pentax is a generation or two behind the curve. Try the
hybrid viewfinder on the Fuji X100 or the Olympus VF-2 to experience the state of the (still changing) art.