Perhaps the fact that orcs fight so much among themselves is demonstrative not of a lack of intelligence, but of a lack of tolerance? I'd imagine that, um, Orcish society probably teaches them to have a "me first" kind of attitude.
I don't believe that Orcs are any less intelligent than any other beings in Middle-Earth... but their circumstances probably don't allow for a whole lot of independent thought. As someone said, it was mentioned that their hand-to-hand combat abilities are inferior... once again, it's probably something they learn... Sauron and Morgoth both seemed to prefer the "let's overwhelm them with numbers" tactic, so single combat maybe didn't become necessary very often...?
Except in that unfortunate incidence where poor old Fingolfin went up against Morgoth... ai.
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