[guided]We now prove positivity. Fix a point $x \in X$ and a nonzero tangent vector $v \in T_x^{1,0}X$. The holomorphic map $\Phi$ has complex differential
\begin{align*}
d\Phi_x^{1,0}: T_x^{1,0}X &\to T_{\Phi(x)}^{1,0}\mathbb{P}^N.
\end{align*}
The embedding hypothesis is used exactly here: a holomorphic embedding is an immersion, so this differential is injective at every point. Therefore, because $v \neq 0$,
\begin{align*}
d\Phi_x^{1,0}(v) \neq 0.
\end{align*}
From the first part of the proof, the Chern form of the pulled-back Hermitian line bundle is the pulled-back Fubini-Study form:
\begin{align*}
c_1(\Phi^*L,\Phi^*h_{\mathrm{FS}})
=
\Phi^*\omega_{\mathrm{FS}}.
\end{align*}
Evaluating both sides on $(v,\overline v)$ gives
\begin{align*}
c_1(\Phi^*L,\Phi^*h_{\mathrm{FS}})_x(v,\overline v)
&=
(\Phi^*\omega_{\mathrm{FS}})_x(v,\overline v).
\end{align*}
By the definition of pullback of a $(1,1)$-form, the right-hand side is obtained by applying $\omega_{\mathrm{FS}}$ to the pushed-forward tangent vector:
\begin{align*}
(\Phi^*\omega_{\mathrm{FS}})_x(v,\overline v)
=
\omega_{\mathrm{FS},\Phi(x)}
\left(d\Phi_x^{1,0}(v), \overline{d\Phi_x^{1,0}(v)}\right).
\end{align*}
The Fubini-Study form is a positive $(1,1)$-form on $\mathbb{P}^N$. Since $d\Phi_x^{1,0}(v)$ is nonzero, positivity gives
\begin{align*}
\omega_{\mathrm{FS},\Phi(x)}
\left(d\Phi_x^{1,0}(v), \overline{d\Phi_x^{1,0}(v)}\right)
> 0.
\end{align*}
Combining the displayed equalities, we obtain
\begin{align*}
c_1(\Phi^*L,\Phi^*h_{\mathrm{FS}})_x(v,\overline v) > 0.
\end{align*}
Because $x \in X$ and nonzero $v \in T_x^{1,0}X$ were arbitrary, the first Chern form of $(\Phi^*L,\Phi^*h_{\mathrm{FS}})$ is positive at every point. This is precisely the positivity of the Hermitian holomorphic line bundle.[/guided]