I can't imagine how the unit can die without power. I have run many DuraSparks and they rarely fail - they do fail, but not very often - so that would mean something is off on your wiring.
When I used to put these on V8's, I used a factory style canister coil because it was hotter than the old type and you are able to use the clip type coil connector for a neater installation. May people here use the stock TFI coil with excellent results, so that shouldn't be a problem.
Check your wiring again. I used a Motor's manual to trouble-shoot the module and I'm sure you can find info on line about how to do that. One mistake is to assume that because it has power, it is the proper power. These are designed to run with a reduced voltage after starting. On a diagram, you will see that during starting, a full 12V is delivered, and about 9V (if I remember correctly) when running.
Your mounting position looks good to me, so that leads me back to the circuit. I also found that the brand of module doesn't make any difference, so in this case cheaper is just as good - or used to be; I haven't done a DuraSpark for a few years now. These are simple, trouble-free systems when installed right. (But take a spare module with you when on the road to be safe)