Hi adhithya,
I do not know enough about your background to answer your first question, however the following are a few notes:
1. In general, business schools like to see candidate's with at least 2 years of experience.
2. They also like to see candidates who have reached a 700 on the GMAT. Admissions teams focus on your highest score, so do not be concerned about any negative implications for taking the test again.
3. Admissions teams are looking to cultivate future leaders, so any leadership/management experience you have will be important.
Masters programs provide a very different experience than MBA programs. One is not necessarily "better", but rather it depends on what you are looking for.
Cheers,
Conrad and the
Stacy Blackman Team