That's exactly what a character arc is!? A transformation of a person. Her overcoming her barriers is not a character arc, because it's who she's always been, and who she is throughout the movie.
My take on the overall arc is that it's about letting go. She _is_ being subdued, in more than one way, and the culmination of that is her unleashing at the end. That unleashing is represented as a consequence of her finding her power, but the effect of it on her as a person isn't shown. How many scenes are there even after that last action bit? It leaves me wanting more, you want to see her get familiar (again) with being unleashed, you want the movie to explore that. That doesn't happen enough in the movie IMO, it leaves me wanting more at the end. She pretty much straight goes in to space.
Take Dr. Strange for example. He starts out as an arrogant asshole feeling like he's on top of the world, and is summarily undone by his own callousness. He loses everything and is brought to despair. Then he finds a glimmer of hope but gets cast out again, he perseveres and finds a new path for himself. During that, he discovers that the ones who are helping him are not selfish like him, they are heroes who take their power and use it responsibly, selflessly. Strange initially is like hell naw, yet then he starts to accept it and slowly starts to embrace the selflessness and new responsibility. At the end, he's changed as a person, he's still arrogant, but he's learned the importance of selflessness and responsibility. There are a lot more in your face beats in this movie, and the final action bit where Strange is learning to use his powers is also a lot longer (haven't checked though, but would be really surprised if it's not).
Carol's character arc is much harder to describe for me. It was shown to that she was being suppressed with the device in her neck, the psychological manipulation, and the memory erasing. So I would think those three are the character arc then, she gets her powers back, memories, and overcomes the psychological manipulation. Her powers back, check, that was done alright - the scenes were really satisfying, although the action was quite short after she went all out. But her memory erasing and psychological manipulation? All that I got was her blasting Jude Law when he wanted to duke it out by hand -- and that actually already happened at the start of the movie, so it wasn't even a change or a new thing.
I would have loved to see a bit more of that change, relish in it a bit. Maybe I missed or didn't notice it? How do you see the arc then?
See, and there in is the problem. You seem to believe that the manipulation and memories build a part of her personality. You think that upon remembering her past, or discovering that she's been manipulated, that she's going to change. This isn't the God Father where in a character doesn't want to become like his father, but is then thrust into a world that makes him like his father.
Carol Danvers is Carol Danvers throughout the entirety of the movie. Her character arc (her development) is her coming to terms with fragmented past, her oppressors (the Kree), and her self doubt. That is her development. She rises up above the adversity, and it's a choice that she makes, not an external factor. She chooses to listen to the Skrull, where previously she just wanted to kill them. She chooses to trust Fury, to dig into her past, and to disobey the Kreey (the Supreme Intelligence). These are all choices that she makes that she otherwise would not have made in the beginning of the movie.
I mean, she develops plenty throughout the film, and her arc is one of self discovery and triumph, particularly in accepting her emotional influence on her power, and escaping the grasp of the Kree.
She doesn't need to transform completely as a personality in order to have a character arc. The idea that her personality was "suppressed" or that we "didn't see enough of it" is off base, because we see plenty of it. It's all there, throughout the entirety of the movie. We know what she has a sequel coming, we know that Mar-Vell is still alive, and we know that she's slowly piecing together her past. That said, I don't think any of that would have had any consequence in her development, because we see plenty of who Danvers was before she lost her memory.
She was a determined young woman who wanted to do what she wanted to do, not what people thought young women should do. She was an aspiring pilot who wanted make a difference in the world. She was a loyal friend. Most of all, she was persistent. She displays all of those qualities as Captain Marvel, so I'm not sure how her past is going to contribute to her character development.
I'm not saying this is your stance, but when I see takes like "I wish we could have seen more of her personality", I just read "boy I wish she would smile more", and it makes me roll my eyes.