Does engineering undergrad performance matter for masters in management admission?
I'll speak from my own experience.

I had only a 2.9 GPA in my major, Economics. But I had a 3.5 overall.

What may have helped me was my GMAT score (over 750). In any event, I got into several top level MBA programs, including the one of my choice.

It helps to work a year or two before applying to an MBA program. A "gap year" (or more) is probably more valuable for this degree than for other graduate degrees.