How bad is it? It wasn't even the best Lambada movie released that day.
Should you see it? I'd say not.
There was no Lambada craze, despite an attempt to create one. I have yet to meet anyone who can explain how to do it. There was some word of a sexy dance from South America "sweeping the world" that was already extinct by the time this was released. Interestingly, the film "Lambada" was released on the exact same day (and it's a little better). This film has a rain forest princess using the popularity of the dance to educate people about the plight of the rain forest in Brazil. There's a couple of moments of "oh, I forgot about that band!" moments with Kid Creole and the Coconuts andThe Dream Machine. Jose' Feliciano and Expose' are also on the soundtrack, being the only high points of the film.