Falcon 1 has a low payload (small satellite) with medium energy (LEO).
New Shepard has a medium payload (crew capsule) with low energy (suborbital).
As far as "similar to a large orbital launch vehicle", you can rank them as:
New Shepard < Falcon 1 < Falcon 9 < New Glenn
BO is definitely trying to "skip steps", but I think that the US space industry as a whole is certainly better off for Blue Origin existing.
As far as the BE-4, the single largest technical risk for a launch vehicle is the engine, and using an engine which will already be in use (for Vulcan) looks smart to me. Yes there are delays, but aren't there always?