Dear Adzmel,
Based on your post, I think you have the foundation for a competitive application to HBS. The ultimate decision will come down to how well you present your background and experiences relative to the applicant pool. Thus it is imperative you use each application piece to strengthen your application and make a compelling case for your admission. Your transcript will give the admissions committee pause, so using the optional (or additional info in HBS' case) to address your academic performance (and how it will be better in business school) is more prudent.
Good luck,
Lisa
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Profile Evaluation for HBS
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Lisa Anderson
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